New York Market Overview

America's largest city is also a top market for data centers. While New York City's high cost of doing business often deters providers, some companies require a data center located in the city. Almost all data centers in the New York City (NYC) market are concentrated in Manhattan, with the majority of providers in retrofitted high-rises. Users find the NYC data center market attractive due to strategic location and robust connectivity. Most of the data centers in NYC are in older buildings that have been converted into data centers. The aged infrastructure is causing data center operators to focus on upgrading facilities to meet the security and redundancy needs of data center users in the city.

The city's infrastructure for connectivity, especially in Manhattan, is world class due to the business needs of the area's large companies. Many firms with larger data center requirements choose to move out of the city for total project cost, hazard risk or safety reasons. Industries with consistent data center requirements in the NYC market include financial, healthcare, insurance, media, technology, telecommunications, and transportation.

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