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    Home » Local News » Phoenix Leads U.S. in Data Center Absorption
    Local News

    Phoenix Leads U.S. in Data Center Absorption

    BEX StaffBy BEX StaffSeptember 16, 2022No Comments1 Min Read
    Credit: Google
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    JLL’s latest Data Center Market Report shows Phoenix is the leading market in the country in terms of megawatts of net absorption.

    National absorption hit 1,087MW in the first half of 2022, according to the report, which was more than 95% of the total for last year.

    Greater Phoenix was the leading market, hitting 280MW of net absorption, an increase of more than 10 times 2021’s total absorption. Phoenix is also a leader in capacity under construction, coming in second for new supply with 278MW. Phoenix’s pace is made all the more impressive by the fact it reported no new centers under construction in the first half of 2021, according to JLL.

    JLL attributes the increased demand on the continuing strength of the hybrid work model and ongoing increases in individuals’ data use.

    The ongoing challenges for the industry continue to be land and power availability, opening potential opportunities in new markets with more availability. JLL also warns data center deliveries could be hampered by newly expanded labor shortages and supply chain disruptions as projects increase in the semiconductor manufacturing base. (Source)

    Data Center Market Report Data Centers Industrial JLL megawatt absorption Pipeline semiconductor trends
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