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Data Centers in Alexandria

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Alexandria – Resilient Infrastructure for Regional Continuity

Alexandria: Strategic Redundancy for the Midwest

For enterprises requiring geographic diversity from major Midwestern hubs, Alexandria provides a stable, cost-effective environment for disaster recovery and edge computing. This market ensures mission-critical operations remain secure and resilient by leveraging lower regional overhead while maintaining high-speed access to national network cores.

Alexandria: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBReliable regional connectivity for secondary sites and edge workloads.
Direct Cloud On-Ramps0 – as of December 2025Nearest major on-ramp hub is Minneapolis.
Power Cost$0.08/kWh – as of December 2025Competitive industrial rates favoring high-density compute workloads.
Disaster RiskLow (24.66) – as of December 2025Low overall environmental risk profile.
Tax IncentivesYes – as of December 2025State sales tax exemptions for qualified IT hardware and software.
Sales Tax6.88% – as of December 2025Standard Minnesota state rate applies to most purchases.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Carrier count: over 3. The market supports between 3 and 5 carriers as of December 2025. Local facilities are generally carrier-neutral, providing diverse fiber paths that serve the central Minnesota corridor and ensure reliable uptime.

Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions as of December 2025. While local facilities do not host direct on-ramps for AWS, Google Cloud (GCP), or Microsoft Azure, low-latency connectivity is available via private transport and carrier extensions to the Minneapolis regional hub.

Internet Exchange Points (IXPs): Public internet exchanges are limited locally as of December 2025. Most peering occurs through private interconnects or by leveraging national hubs in nearby Minneapolis, providing sufficient throughput for regional distribution without metro congestion.

Bare Metal: Professional bare metal and dedicated server options are available through regional providers and specialists such as Hivelocity or Latitude.sh as of December 2025. These services allow for the rapid deployment of compute resources without heavy capital investment.

Power Analysis

Average Cost Of Power: Industrial electricity is priced at $0.08/kWh as of December 2025. These rates are significantly lower than the national average, providing a direct cost advantage for long-term colocation and power-intensive industrial automation.

Power Grid Reliability: The local grid is supported by regional cooperatives and well-engineered transmission networks that manage the heavy demands of the manufacturing sector. Redundant substation support ensures consistent power delivery for critical infrastructure.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Alexandria are positioned near major manufacturing and logistics centers in central Minnesota. This proximity allows for low-latency processing of industrial data and automation systems essential for regional supply chains.

Regional Market Reach: This location effectively serves the population centers of central and western Minnesota, as well as eastern North Dakota. It acts as a reliable gateway for businesses operating outside the immediate Minneapolis–St. Paul metropolitan area.

Tax Advantage For Data Centers: Minnesota provides a significant financial benefit through state sales tax exemptions on IT equipment and software for qualified data center facilities. This incentive reduces the total cost of ownership for hardware-heavy deployments.

Natural Disaster Risk

Alexandria maintains a Low risk profile with a FEMA NRI score of 24.66 as of December 2025. The environment is stable, with no material risk from seismic activity or coastal flooding.

  • Winter Weather: Periodic heavy snowfall and extreme cold are the primary regional concerns.
  • Strong Wind: Occasional high-wind events occur during seasonal transitions.
  • Hail: Summer storms can produce hail, though facility hardening mitigates these risks.
  • Heat Wave: Temporary periods of high temperatures require efficient cooling infrastructure.
  • Drought: Primarily an agricultural risk with minimal impact on hardened data center operations.
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