The U.S. multi-tenant data center market proved to be a dynamic leasing environment in 2014. Wholesale markets large and small were equally active, with areas seeing dramatic shifts in market conditions. Large multi-megawatt deployments were spread across a diverse landscape of industries – from social media to financial services and insurance companies. Having been at odds with market dynamics over the past 18 months, pricing trends appear to be at an inflection point having shown recent signs of stability. While there are now emerging concerns about the potential of localized supply constraints in 2015, this past quarter also saw several size-able anchor tenant leases kick-off new large projects. With tenant demand still trending strong, the data center providers will continue to diligently explore new market opportunities even in a more disciplined construction environment.
Cushman & Wakefield’s Data Center Advisory Group is a global team of elite professionals who specialize in the delivery of precise real estate solutions for data center users and owners. The team is geographically diverse, covering relevant markets throughout North America and partnering with technical property specialists in Europe, Asia, and South America. The Group is also multi-disciplinary, including brokerage professionals, business consultants, project and facility managers, and appraisers. Find the team on twitter @CushWakeDATACTR.