Data Centers in Central Jersey

Central Jersey – Low-Latency Hub for the Northeast

Central Jersey offers a prime colocation environment for enterprises requiring low-latency access to the New York City and Philadelphia metropolitan financial and commercial hubs. Its dense connectivity and robust infrastructure provide a reliable alternative to core urban markets, balancing high performance with operational stability. This strategic location is ideal for disaster recovery, secondary production sites, and edge deployments serving the massive Northeast Corridor population.

Central Jersey: At A Glance

Network & Connectivity Ecosystem

Central Jersey functions as a critical connectivity hub, benefiting from its strategic position between New York City and Philadelphia. The market provides a compelling alternative to more congested urban centers without sacrificing network performance.

Carrier Density & Carrier Neutrality With over 25 unique network providers present, as of September 2025, the region offers extensive choice. The majority of the 22 data centers operate on a carrier-neutral basis, enabling customers to interconnect with the providers that best suit their performance and cost requirements.

Direct Cloud On-Ramps There are no public cloud on-ramps located directly within Central Jersey, as of September 2025. Businesses achieve secure, low-latency cloud access through private network interconnects (PNI) or wavelength services extending to the primary cloud exchange hubs in the New York City metropolitan area.

Internet Exchange Points (IXPs) Public peering is not a major feature of this market. Most interconnection occurs via private peering within data centers or by connecting to the major Internet Exchanges in New York City, which concentrates regional and international traffic exchange.

Bare Metal Bare metal server capacity is readily available from multiple providers. This allows businesses to deploy dedicated, high-performance computing without the overhead of managing their own hardware. Providers like Hivelocity and phoenixNAP offer solutions in the broader region.

Power Analysis

Average Cost Of Power Industrial electricity rates are estimated to range between $0.12 and $0.15 per kWh, as of September 2025. These competitive costs, relative to nearby major cities, can significantly reduce total operating expenses for power-intensive deployments.

Power Grid Reliability The power infrastructure supporting Central Jersey's data center corridors is well-engineered and resilient. Facilities are typically fed by redundant power grids and benefit from multiple substation support, ensuring high levels of uptime for mission-critical operations.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Data centers in Central Jersey provide low-latency connectivity to the financial markets of Wall Street and the enterprise headquarters in both Manhattan and Philadelphia. The area is also a hub for the pharmaceutical, biotechnology, and telecommunications industries.

Regional Market Reach This market is exceptionally positioned to serve the entire Northeast Corridor, one of the most densely populated and economically productive regions in the world. It provides an effective distribution point for content and applications targeting tens of millions of consumers.

Tax Advantage For Data Centers New Jersey offers tax incentives that can benefit data center operators and tenants. The state's primary program provides tax credits based on significant capital investments and the creation of new full-time jobs, helping to lower the long-term cost of large-scale deployments.

Natural Disaster Risk

Central Jersey has a high natural disaster risk profile, with a FEMA National Risk Index score of 75.31, as of September 2025. The risk is driven almost entirely by weather-related events rather than seismic activity.

Key risks for data center planning include severe winter weather and ice storms, hurricane-related strong winds and inland flooding, heat waves, and tornadoes. Facility designs and operational planning in the region incorporate extensive mitigation strategies for these specific threats.