Data Centers in North Jersey
1 locations found
Need Help?
Tell us about your needs and our team of experts will help you find and choose the perfect Data Center and solution at the best price.
Explore Other Markets in New Jersey
North Jersey – Low-Latency Hub for New York Metro
Executive Summary
North Jersey is one of the nation's primary data center markets, serving as the digital backbone for the New York metropolitan area's financial, media, and enterprise sectors. Its strategic location offers low-latency connectivity to Manhattan's key exchanges and business districts without the real estate and risk profile of New York City itself. For businesses where milliseconds matter, North Jersey provides a critical balance of performance and resilience.
North Jersey: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Strong connectivity driven by proximity to major New York City peering and interconnection hubs. |
| Direct Cloud On-Ramps | 0 — as of September 2025 | Nearest on-ramps are in New York City; access via private network extensions. |
| Power Cost | $0.13 - $0.15/kWh | Industrial power costs are competitive for the Northeast, offering savings over NYC. |
| Disaster Risk | High (75.31) — as of September 2025 | Risk profile is elevated, primarily due to hurricane, storm, and flooding events. |
| Tax Incentives | Yes — General: state tax credit tied to capital investment and new full‑time jobs (Next New Jersey AI program) | State-level programs support technology investments and job creation for qualifying projects. |
| Sales Tax | 6.63% (New Jersey state) — as of September 2025 | Standard state sales tax applies to equipment and non-exempt service purchases. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: The North Jersey market features a high density of network providers, with well over 100 carriers present as of September 2025. Its ecosystem of carrier-neutral facilities provides extensive choice for building redundant, high-performance networks.
Direct Cloud On-Ramps: There are no direct public cloud on-ramps located within North Jersey data centers as of September 2025. However, dedicated and private network connections provide low-latency access to all major cloud providers, including AWS, Google Cloud (GCP), and Microsoft Azure, via their nearby availability zones and network hubs in New York City.
Internet Exchange Points (IXPs): While some facilities offer peering, the majority of public and private peering for the region occurs at major IXPs located across the Hudson River in New York City. This proximity allows for efficient traffic exchange with global networks.
Bare Metal: Bare metal server options are widely available from various providers in the region, offering dedicated compute for performance-sensitive workloads. Providers like Hivelocity and phoenixNAP serve the North Jersey market.
Power Analysis
Average Cost Of Power: Industrial electricity rates in North Jersey typically range from $0.13 to $0.15 per kWh as of September 2025. These rates are generally more favorable than those found in adjacent New York City, making it a cost-effective location for power-dense deployments.
Power Grid Reliability: The power grid supporting North Jersey's data center corridors is well-engineered and resilient. Facilities commonly receive power from multiple substations, and providers have invested heavily in redundant infrastructure to support high uptime requirements for enterprise and financial clients.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: North Jersey data centers are strategically located to provide low-latency connectivity to Manhattan's financial district, carrier hotels, and corporate headquarters. This makes it a prime location for financial trading applications, ad tech, and digital media delivery.
Regional Market Reach: The market provides effective access to the entire New York metropolitan area, one of the largest and most economically significant population centers in the world. Colocation in North Jersey can serve over 20 million people with minimal latency.
Tax Advantage For Data Centers: New Jersey offers a state tax credit connected to capital investment and the creation of new full-time jobs through its Next New Jersey AI program. This incentive can reduce the overall cost of establishing or expanding a significant technology footprint in the state.
Natural Disaster Risk
North Jersey has a High natural disaster risk profile, with a FEMA National Risk Index score of 75.31 as of September 2025. The most significant threats are driven by severe weather events common to the Mid-Atlantic region. Key hazards include hurricanes, winter storms, lightning, strong winds, and river flooding. While earthquake risk is present, it is a less frequent threat compared to atmospheric and hydrological events.
