Amsterdam Data Centre Take-up Soars As European Economic Crisis Continues
Amsterdam’s data centre market continues to prosper and outperform other European locations despite economic uncertainty in the Eurozone, according to the CBRE’s latest European Data Centre MarketView report. For the year, take-up in the city has remained resilient at 9,965 sq m, outperforming the London, Paris and Frankfurt data centre markets. This is due to its position as a connectivity hub and in response to the large number of technology and telecoms companies operating in the city which require significant and increasing levels of data processing capacity.
Frankfurt experienced a rise in take-up at 5,205 sq m in Q3, following the completion of a sizeable deal at the Databurg facility which largely accounted for this spike in activity. London and Paris have felt the strain of economic instability, and the two cities’ reliance on corporate demand, particularly from the financial services sectors, has left take-up levels significantly lower than the five year quarterly average, at 3,280 sq m and 535 sq m respectively. However, their strategic importance of these locations is not to be downplayed, and in the long-term these two markets are expected to prosper.
Andrew Jay, Executive Director, Head of EMEA Data Centres, CBRE, said: “Once again, Amsterdam’s diverse mix of telecommunication and technology companies has held it in good stead to defy the downward economic pressures felt by other markets. Terremark have just completed their facility in the city, which shows confidence in the increasing demand for data processing and cloud services. The economic downturn isn’t slowing the increase in use of IT, which drives demand for modern data centre space, however many corporates are delaying their moves into new facilities which is creating pent up demand. "
CBRE’s European Data Centre MarketView is a quarterly report which analyses the core European markets of London, Frankfurt, Paris, Amsterdam and Madrid.