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Data Center Vacancies Drop to All-Time Low for NYC Region
Driven by increased demand from cloud providers and from health care and financial services companies, the New York Tri-State region saw data center vacancy drop to an all-time low of 8.8% in 2020, according to CBRE’s latest North American Data Center Trends Report.
The regional market saw 3.3 megawatts (MW) of net absorption in 2020, down from the nearly 9.0 MW recorded during 2019. New construction underway will add 23.6 MW of capacity, bringing much-needed supply to the market’s total inventory, which stood at149.1 MW at the end of 2020.
“The Tri-State market turn-key data center capacity is nearing historic lows fueled by social media companies, as well as more traditional users like health care and financial services companies,” said CBRE’s Jon Meisel. “The lack of supply is reaching dire levels in terms of accommodating ongoing expansions, not to mention attracting new users to our market.”
- ◦Development
