Data Centers in Dayton
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Dayton – Reliable Colocation for Midwest Edge Computing
Dayton offers a compelling, low-risk environment for enterprises needing to serve Southwest Ohio and the broader Midwest. Its strategic location, combined with favorable tax conditions and a very low natural disaster risk profile, makes it an excellent choice for disaster recovery sites and latency-sensitive applications that require proximity to Cincinnati and Columbus.
Dayton: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid regional connectivity, suitable for most enterprise and edge workloads. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Access is available via private network extensions to hubs like Columbus or Chicago. |
| Power Cost | $0.07-0.09/kWh (est.) | The state's natural gas-heavy grid mix helps maintain competitive industrial power rates. |
| Disaster Risk | Low (Score: 19.50) | Very low overall risk score from FEMA provides high operational assurance. |
| Tax Incentives | Yes | Negotiated tax credits are available for significant data center investments. |
| Sales Tax | 5.75% (state base) | This rate is for the state of Ohio, as of September 2025. |
Network & Connectivity Ecosystem
Dayton’s connectivity landscape is well-suited for regional enterprise needs, offering reliable access to national networks even without direct hyperscale cloud presence.
Carrier Density & Carrier Neutrality: With approximately 5-10 regional and national carriers present, as of September 2025, businesses have sufficient options for creating redundant network architectures in carrier-neutral facilities.
Direct Cloud On-Ramps: Dayton has 0 direct cloud on-ramps and 0 cloud regions locally, as of September 2025. Secure, low-latency connections to major cloud providers are achieved through private network links to nearby hubs, primarily Columbus and Cincinnati.
Internet Exchange Points (IXPs): Public peering is limited within Dayton. Most interconnection is handled privately between carriers or routed through regional IXPs in major Ohio metro areas, ensuring efficient traffic exchange.
Bare Metal: Bare metal server options are available from providers, offering dedicated compute resources for performance-intensive workloads. Options include services from providers like ColoCrossing and Hivelocity.
Power Analysis
Dayton provides reliable and competitively priced power, a critical factor for any data center deployment.
Average Cost Of Power: Industrial electricity rates are estimated to be between $0.07 and $0.09 per kWh, as of September 2025. These competitive costs, driven by Ohio's diverse energy mix, help lower total operational expenses for high-density deployments. The grid is primarily fueled by natural gas (59%), coal (19%), and nuclear (12%), as of 2023.
Power Grid Reliability: The regional power grid is well-engineered, with infrastructure in key commercial zones benefiting from redundant feeds and modern substation support. This design minimizes the risk of service interruptions for mission-critical facilities.
Market Access, Business & Tax Climate
Dayton's strategic location and business-friendly environment provide a solid foundation for digital infrastructure investment.
Proximity To Key Business Districts: Data centers in the Dayton area serve the aerospace, defense, logistics, and healthcare industries concentrated around Wright-Patterson Air Force Base and the I-70/I-75 corridor. This proximity supports low-latency requirements for these critical sectors.
Regional Market Reach: From Dayton, organizations can effectively serve a significant population corridor that includes Cincinnati, Columbus, and Indianapolis. This makes it an ideal location for disaster recovery and secondary IT sites for businesses in those larger markets.
Tax Advantage For Data Centers: Ohio offers significant tax incentives that can substantially reduce the cost of building and operating a data center. These negotiated benefits, awarded by the Ohio Tax Credit Authority, create a favorable financial climate for large-scale technology investments.
Natural Disaster Risk
Dayton is an exceptionally low-risk location for data center operations from a natural disaster perspective.
The region has a "Low" natural disaster risk rating with a FEMA National Risk Index score of 19.50 out of 100, as of September 2025. The primary environmental hazards to consider are severe storms and their associated effects. Key risks include strong winds, tornadoes, hail, and lightning, along with potential for river flooding. Risks from earthquakes and hurricanes are negligible.
