Data Centers in Jesup
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Jesup – Low-Risk, Cost-Effective US Infrastructure
Jesup, Iowa offers a strategic location for companies seeking cost-effective and highly resilient data center operations. This market is ideal for disaster recovery, secondary compute workloads, and organizations prioritizing low power costs and minimal natural disaster risk. Deploying in Jesup provides a stable operational environment that protects critical data and reduces long-term operating expenditures.
Jesup: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | A solid regional market, not a primary national interconnection hub. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest hubs like Chicago are accessible via private network extensions. |
| Power Cost | $0.07 - $0.09/kWh | High renewable mix (~60% wind) contributes to competitive pricing. |
| Disaster Risk | Moderate (43.14) – as of September 2025 | Very low overall FEMA score; risks are primarily weather-related. |
| Tax Incentives | Yes | Data center-specific sales and use tax exemptions are available for qualifying projects. |
| Sales Tax | 6.00% (Iowa) – as of September 2025 | State-level sales tax; specific exemptions can significantly lower this for data centers. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: Jesup provides access to a good mix of regional and national carriers, as of September 2025. The data center present in the market operates on carrier-neutral principles, allowing customers to choose their preferred network providers.
Direct Cloud On-Ramps: There are no direct cloud on-ramps within Jesup, as of September 2025. Secure, low-latency access to all major cloud providers, including AWS, Google Cloud, and Microsoft Azure, is achieved through private network connectivity to the primary hub in Chicago.
Internet Exchange Points (IXPs): Public peering is not a focus in this market. Most network peering is conducted privately or through major exchange points located in larger Midwest hubs like Chicago or Minneapolis.
Bare Metal: Bare metal server options are available in the region, providing dedicated compute for performance-sensitive applications. Providers like ColoCrossing can serve deployments in this area.
Power Analysis
Average Cost Of Power: Industrial electricity rates in the Jesup area are competitive, estimated between $0.07 and $0.09/kWh as of September 2025. This pricing, combined with a grid powered by approximately 60% renewables, presents a significant opportunity to lower operational costs.
Power Grid Reliability: Iowa's power grid is well-engineered to support its significant industrial and agricultural base. The infrastructure serving the region is reliable, with a strong emphasis on integrating renewable energy sources, particularly wind power.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers in Jesup are positioned to serve Iowa's growing agricultural technology and manufacturing sectors. The location also functions as an excellent disaster recovery site for businesses in larger Midwest cities.
Regional Market Reach: From Jesup, digital services can effectively reach end-users across the Upper Midwest, including Iowa, Minnesota, Illinois, and Wisconsin, with good latency performance.
Tax Advantage For Data Centers: Iowa provides a compelling tax environment for data center operators. The state's sales and use tax exemption on data center equipment, energy, and software directly lowers both initial investment and ongoing operational expenses.
Natural Disaster Risk
Jesup has a moderate natural disaster risk profile, with a FEMA National Risk Index score of 43.14 out of 100 as of September 2025. The area is not exposed to major seismic or hurricane threats. The primary environmental risks to consider are weather-related, including tornadoes, strong winds, winter weather, and ice storms.
