Demand for Central Texas Data Centers Drives Construction
Demand for data centers nationwide continues escalating, with the sector on pace for record absorption in 2018, according to CBRE’s Data Center Trends report. The report, which details statistics from H1 2018, is just as positive when it comes to central Texas data centers.
The Austin/San Antonio corridor is experiencing activity above historical averages in data center development. The market added 9 megawatts (MW) of inventory since the first part of 2017, with 8 MW under construction. The market’s vacancy rate is 8.1%; the Austin market has been driven by state entities and large technology companies, while San Antonio’s activity is due to companies with large cloud requirements.
“Both San Antonio and Austin have low hazard risks and serve as excellent disaster recovery locations for some of Texas’ key production loads. As Texas continues to lead the nation in economic growth, we anticipate data center demand to follow,” said CBRE’s Brant Bernet.
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