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St. Louis – Resilient Hub for Mid-Continent Interconnection

Strategic Connectivity for Centralized Midwest Operations

St. Louis is a strategic mid-continental anchor for organizations requiring geographic diversity and low-latency transit between coastal hubs. It serves as a reliable bastion for financial, healthcare, and biotech firms that prioritize high-uptime environments without the premium price tags of Tier 1 markets.

St. Louis: At A Glance

FactorRating / DataNotes
Global Connectivity GradeAHigh-performing central U.S. interconnection point.
Direct Cloud On-Ramps0 – as of September 2025Chicago is the nearest on-ramp hub city.
Power Cost$0.08 – $0.10/kWh, as of September 2025Regional rates remain consistently below the national average.
Disaster RiskHigh (95.35), as of September 2025Risks include river flooding, tornadoes, and seismic activity.
Tax IncentivesYesSales tax exemption for qualifying data center equipment.
Sales Tax4.225% Sales Tax, as of September 2025Missouri state base rate for equipment transactions.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Carrier count: over 15. As of September 2025, the market supports 15–20 unique network providers. This density ensures competitive transit pricing and redundant fiber paths for resilient workloads.

Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions. While there are no native on-ramps in the city as of September 2025, operators provide private extensions. These links reach major cloud hubs in Chicago with minimal latency.

Internet Exchange Points (IXPs): The St. Louis Internet Exchange (STL-IX) facilitates local peering to lower transit costs and enhance regional performance for local end-users.

Bare Metal: High-performance dedicated hardware is readily available to support rapid scaling. Providers such as phoenixNAP and Hivelocity offer scalable solutions for local deployments as of September 2025.

Power Analysis

Average Cost Of Power: $0.08 – $0.10/kWh, as of September 2025. These competitive rates significantly lower the total cost of ownership for power-hungry high-performance computing clusters. The energy mix includes coal, natural gas, nuclear, and renewables, ensuring a steady supply.

Power Grid Reliability: The local utility infrastructure features multiple substation redundancies serving primary data center corridors. These systems are purpose-built to maintain uptime for large-scale technological deployments and industrial users.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Facilities are centrally located near the Clayton business district and the Cortex Innovation Community. This proximity is vital for sectors requiring low-latency access to primary infrastructure for research and development.

Regional Market Reach: St. Louis acts as a mid-continental transit point serving the broader Missouri and Southern Illinois populations. Its central geography makes it ideal for traffic flowing between national hubs on both coasts.

Tax Advantage For Data Centers: Missouri provides a targeted sales tax exemption for data center equipment to encourage long-term infrastructure investment. This program helps organizations manage the costs of large-scale hardware refreshes and complex server deployments.

Natural Disaster Risk

FEMA NRI Score: High (95.35) – as of September 2025. The region faces specific environmental factors that require resilient facility engineering and careful site selection.

  • River Flooding: Proximity to major waterways makes flood plain management a priority for facility location.
  • Tornadoes: High frequency in the Midwest necessitates reinforced building structures and hardened exterior walls.
  • Earthquakes: The New Madrid Seismic Zone introduces moderate ground movement risk, requiring seismic bracing for server racks.
  • Ice Storms: Severe winter weather can impact utility lines, making on-site fuel reserves and regular generator testing essential.
  • Heat Waves: High summer temperatures require efficient cooling plant designs to maintain target power usage effectiveness.
  • Strong Winds: Regional storms can affect external infrastructure, necessitating protective physical barriers for rooftop equipment.
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