Data Centers in Grand Rapids
6 locations found
- SC
Switch Communications Grand Rapids
4200 60th Street Southeast, Gaines Charter Township
- SC
Switch Communications Pyramid Campus
6100 East Paris Avenue Southeast, Gaines Charter Township
- 1N
123.Net DC4
400 76th Street Southwest, Byron
- MC
ManagedWay Company BYK1
400 76th Street Southwest, Byron Township
- US
US Signal Byron Center
400 76th Street Southwest, Byron
- US
US Signal Barden
4765 Barden Court, Kentwood
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Grand Rapids – Low-Risk Secondary Market Hub
Executive Summary
Grand Rapids is an ideal market for organizations prioritizing operational stability and cost efficiency over ultra-low latency to major coastal hubs. The region's extremely low natural disaster risk and competitive power costs make it a prime location for disaster recovery sites and secondary workloads. Deploying here secures uptime and protects capital without the premium expense of a Tier 1 market.
Grand Rapids: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid connectivity for a secondary market with reliable network options. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Access via private network extension or wavelength services to Chicago hubs. |
| Power Cost | $0.09 - $0.11/kWh | Competitive industrial power rates support efficient, large-scale operations. |
| Disaster Risk | Very Low (9.32 score) | An exceptionally stable environment with minimal exposure to significant natural hazards. |
| Tax Incentives | Yes | Sales and use tax exemptions are available for qualified data center equipment. |
| Sales Tax | 6.00% | Michigan state sales tax rate, as of July 2025. |
Network & Connectivity Ecosystem
Grand Rapids provides a reliable, though not hyper-dense, connectivity environment suitable for enterprise and DR workloads. The ecosystem is stable, with primary interconnection points located in nearby Chicago.
Carrier Density & Carrier Neutrality: The market is served by over 7 network providers, as of September 2025. Multiple carrier-neutral facilities offer choice and redundancy for network services.
Direct Cloud On-Ramps: Grand Rapids has 0 direct cloud on-ramps and 0 native cloud regions, as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure via dedicated private network links to carrier hotels and interconnection hubs in Chicago.
Internet Exchange Points (IXPs): Public peering is limited within the local market. The majority of peering is conducted privately between carriers or routed through major IXPs in Chicago, which serves as the primary peering point for the region.
Bare Metal: Bare metal server options are available from providers in the region. Global providers like Hivelocity and phoenixNAP can serve deployments in the Midwest, offering dedicated compute without the virtualization overhead.
Power Analysis
Average Cost Of Power: Industrial electricity rates in Grand Rapids typically range from $0.09 to $0.11 per kWh, as of September 2025. This competitive pricing helps control operational expenditures, particularly for compute-heavy or high-density deployments.
Power Grid Reliability: The regional power grid is reliable and well-maintained, drawing from a diverse energy mix that includes 11% renewables alongside stable fossil fuel and nuclear sources. Data centers in established corridors benefit from redundant power feeds and strong utility infrastructure.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers in Grand Rapids are positioned to serve the area's strong manufacturing, healthcare, and corporate sectors. This proximity offers low-latency connectivity for local enterprises headquartered in Western Michigan.
Regional Market Reach: Grand Rapids is a strategic location for serving the state of Michigan and the broader Great Lakes region. It also functions as an effective disaster recovery site for primary infrastructure located in Chicago or Detroit, offering geographic separation while maintaining manageable latency.
Tax Advantage For Data Centers: Michigan provides significant tax incentives for data center operators and tenants. A sales and use tax exemption on qualified data center equipment directly reduces the capital cost of building, expanding, or refreshing hardware infrastructure.
Natural Disaster Risk
Grand Rapids has a very low natural disaster risk profile, with a FEMA National Risk Index score of 9.32 out of 100, as of September 2025. This makes the location one of the safest in the country for critical infrastructure.
The primary environmental risks are weather-related and manageable with standard facility engineering. Key risks include tornadoes, winter weather, ice storms, and strong winds. The region has minimal exposure to seismic, wildfire, or hurricane activity.
