Data center construction remains healthy, but oversupply a concern

Major tech firms and wholesale operators continue to expand their data center footprint

May 01, 2013

Facebook, Amazon, Microsoft, and Google are among the major tech companies investing heavily to build state-of-the-art data centers. The flurry of new construction activity, combined with news from Avison Young about the strong performance many wholesale data center operators are seeing, is a positive sign for the data center construction sector.

But industry experts are raising concern over a possible oversupply of wholesale space in the market, with some 1.9 million sf of available space across the U.S., according to CoStar Group's Randyl Drummer.

Read Drummer's report: "Robust Market for Data Centers Healthy Now, But Investors Worry About Oversupply"

         
 

Comments on: "Data center construction remains healthy, but oversupply a concern"