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Data centre industry holds up under pressure

Open-access content 15th April 2009
15 April 2009

The data centre industry remained relatively buoyant in 2008 in spite of the impact of the recession, according to research from real estate advisor CB Richard Ellis.

Total take-up in the European data centre market was 1,586,000 square feet, down just 7 per cent on the 2007 figure. Even after the slight fall across 2008, take-up is still 131 per cent higher than in 2006.

Andrew Jay, head of technology practice group at CB Richard Ellis, said: "The buoyant activity amongst occupiers and developers of technical real estate in Europe during the course of 2008 has defied the global economic downturn and provides strong evidence that the data centre industry has reached a maturity perhaps not previously witnessed.
 
Jay was, however, guarded about the industry's outlook. "Despite the encouragingly high levels of take-up in 2008 we remain cautious going into 2009. In the medium term we still expect underlying demand to continue to grow, due to the ever increasing reliance on IT from both corporates and consumers.  However in 2009, given the constraints in the capital markets, total take-up will reduce."
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