Data Centers in St. Cloud
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St. Cloud – Resilient Colocation for Regional Continuity
Executive Summary
St. Cloud serves as a strategic recovery and production site for organizations requiring high physical security away from dense urban centers. This market provides a stable environment with competitive operating costs, ensuring uptime for critical Midwestern business operations. It is a premier choice for enterprises seeking geographical diversity within the Minnesota corridor.
St. Cloud: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable regional performance with fiber backhaul to Minneapolis. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Private extension via Minneapolis hubs 65 miles away. |
| Power Cost | $0.08/kWh – as of December 2021 | Competitive rates support cost-effective large-scale deployments. |
| Disaster Risk | Low (24.66) – as of December 2025 | Minimal risk profile compared to national averages. |
| Tax Incentives | Yes | State sales tax exemptions for qualified data centers. |
| Sales Tax | 6.875% – as of June 2025 | Standard rate based on Tax Foundation data. |
Network & Connectivity Ecosystem
St. Cloud acts as a resilient secondary node in the Minnesota infrastructure landscape. As of September 2025, the connectivity environment is defined by its integration with larger regional hubs.
Carrier Density & Carrier Neutrality: Carrier count: over 2. The market features ~5 local and regional carriers as of September 2025. Facilities here typically provide neutral access to diverse fiber paths that connect directly to the Twin Cities.
Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions as of September 2025. While no native on-ramps exist within the city limits, enterprises use private network interfaces to reach AWS and Google Cloud (GCP) located in Minneapolis, approximately 65 miles away.
Internet Exchange Points (IXPs): There are no public IXPs within St. Cloud as of September 2025. Most local traffic peers at the Midwest Internet Cooperative Exchange (MICE) in Minneapolis to ensure low-latency regional routing.
Bare Metal: High-performance compute requirements are met through providers such as Hivelocity or Latitude.sh as of September 2025, which offer automated server deployment for local edge workloads.
Power Analysis
The energy profile in St. Cloud is characterized by affordability and stability.
Average Cost Of Power: Industrial electricity is priced at $0.08/kWh as of December 2021. These rates allow for predictable operational spending, especially for power-intensive machine learning or archival storage tasks.
Power Grid Reliability: The local grid is supported by a well-engineered utility network with redundant substation configurations. This infrastructure provides a sturdy foundation for mission-critical facilities requiring high availability.
Market Access, Business & Tax Climate
St. Cloud offers a business-friendly environment for technology investments outside the primary Minneapolis–Saint Paul metro.
Proximity To Key Business Districts: Data centers here are centrally located to serve the regional medical, educational, and manufacturing sectors. This proximity allows local institutions to maintain low-latency access to their private clouds.
Regional Market Reach: From this location, providers can effectively serve the entire Central Minnesota population and provide low-latency failover services for the Twin Cities market.
Tax Advantage For Data Centers: Minnesota provides sales tax exemptions on data center equipment and software for qualified facilities. This benefit reduces the capital required for hardware refreshes and long-term scaling.
Natural Disaster Risk
The natural disaster risk for St. Cloud is Low, with a FEMA score of 24.66 as of December 2025. The region is geographically stable, with no material risk from coastal events or major seismic activity.
Business continuity planning should account for the following primary risks as of December 2025:
- Hail: Frequent seasonal occurrence requiring reinforced roofing systems.
- Strong Wind: High-velocity events that necessitate sturdy exterior construction.
- Winter Weather: Extreme cold and snow that require reliable fuel heating and enclosure management.
- Tornado: Occasional regional activity managed through hardened facility designs.
Other risks, such as landslides or wildfires, are minor and do not significantly impact infrastructure safety.
