As AI and digital infrastructure drive skyrocketing power demand, choosing the right location for your data center is more critical than ever. A poor site can cost millions — but with the right data, you can pinpoint locations with reliable power, low energy costs and scalable, buildable land. This guide walks you through everything you need to know about siting data centers and how Enverus helps accelerate the process with precision and confidence.
A data center is a dedicated facility used to house computer systems, servers, networking hardware and storage infrastructure for processing, storing and distributing large volumes of data. As businesses and technologies like artificial intelligence, cloud computing and streaming services expand, the need for reliable, scalable data centers has never been greater.
Data centers vary widely in scale and purpose. Knowing the distinctions helps developers, utilities and grid planners design smarter siting strategies and infrastructure plans.
A large load is a facility or cluster of facilities that consumes significant amounts of electricity to support energy-intensive operations. These sites can include industrial manufacturing plants, mining operations, battery gigafactories, or water treatment facilities. As industries electrify and scale to meet growing demand, the need for reliable, high-capacity power connections to serve these large loads has never been greater.
Large loads vary widely in scale and purpose. Knowing the distinctions helps developers, utilities and grid planners design smarter siting strategies and infrastructure plans.
Data center and large load siting is the process of evaluating and selecting a location to build a data center based on key factors like energy availability, infrastructure land suitability and long-term cost. Whether you’re building a hyperscale facility, enterprise site or edge data center, siting decisions directly impact performance, uptime and ROI.
At its core, effective data center siting comes down to finding the optimal balance of three critical elements:
Each of these pillars plays a vital role.
For example, a site with cheap power but no available land or fiber access may stall development. Similarly, a great parcel without enough withdrawal capacity or a stable power source could lead to downtime and cost overruns.
Where a data center or large load connects to the grid has a direct impact on project costs, reliability and long-term scalability. Poor siting decisions can lead to expensive transmission upgrades, delayed interconnection or limited access to affordable power.
For developers and utilities, aligning siting strategy with grid capacity, infrastructure plans and future demand ensures:
Strategic siting doesn’t just affect individual projects—it shapes regional grid planning, investment decisions and the pace of electrification.
Power isn’t just an operational input; it’s the lifeline of a data center. From the moment a server spins up to every millisecond of uptime guaranteed in an SLA, everything relies on a consistent, high-volume, reliable flow of electricity.
Why Power Matters for a Data Center:
Power availability is critical—but so is how much that power costs. For most data centers, electricity is the largest ongoing operational expense, often representing 25–60% of total costs. Siting a facility in the wrong location—even by just a few nodes—can mean millions of dollars in annual cost differences.
Why Price Matters for Data Centers:
It’s not enough to have reliable and affordable power—the land itself has to be viable. And in today’s market, good parcels go fast. From hyperscalers to land banking investment groups, there’s a race to lock up acreage that checks all the boxes: access to infrastructure, buildability, connectivity and scalability.
Why Place Matters:
Get the latest expert insights on data center growth trends, land acquisition and emerging power markets.
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