Data Centers in Hamilton
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Hamilton – Stable & Cost-Effective Colocation
Executive Summary
Hamilton, Ohio, provides a compelling, low-risk environment for disaster recovery sites and secondary workloads. Its primary advantage is operational stability, combining a very low natural disaster risk profile with access to a reliable power grid. This market is ideal for businesses prioritizing uptime and cost control over dense, low-latency interconnectivity.
Hamilton: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | A secondary market with solid regional connectivity options. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest hubs are in Columbus and Cincinnati; private extensions are available. |
| Power Cost | $0.08 - $0.10/kWh | Industrial power costs are competitive for the Midwest region. |
| Disaster Risk | Low (Score: 19.50) – as of 2023 | Very low exposure to major natural disasters, enhancing uptime. |
| Tax Incentives | Yes | Negotiated tax credits are available for qualifying data center projects. |
| Sales Tax | 5.75% (State base rate) – as of September 2025 | Ohio's state-level sales tax applies to equipment purchases. |
Network & Connectivity Ecosystem
Hamilton is a secondary connectivity market that leverages its proximity to larger hubs. With one data center, the ecosystem is focused but provides access to essential services for regional enterprise needs.
Carrier Density & Carrier Neutrality: The market includes over 5 carriers, as of September 2025, providing foundational connectivity options. While not a dense hub, facilities offer access to key regional and national networks sufficient for most enterprise and disaster recovery applications.
Direct Cloud On-Ramps: There are no direct cloud on-ramps within Hamilton, as of September 2025. Businesses connect to cloud providers via network extensions to major hubs like Columbus or Cincinnati, using private network interconnects or wavelength services for secure, reliable access.
Internet Exchange Points (IXPs): Public peering is not a feature of this market. Interconnection is typically handled through private peering arrangements or by routing traffic through major exchange points in Chicago or Ashburn.
Bare Metal: Bare metal server options are available in the broader Ohio region. Providers like ColoCrossing and Hivelocity can serve customers with deployments in nearby markets, offering dedicated compute resources.
Power Analysis
Ohio's power landscape is characterized by a mix of traditional and renewable sources, with a strong emphasis on natural gas.
Average Cost Of Power: Industrial electricity rates in the Hamilton area typically range from $0.08 to $0.10 per kWh, as of September 2025. These competitive rates help reduce total operational costs for power-intensive deployments. The state's power mix is dominated by natural gas (59%), followed by coal (19%), nuclear (12%), and renewables (10%), as of 2023.
Power Grid Reliability: The regional power grid is well-engineered and stable, which is a key requirement for data center operations. Infrastructure supporting local facilities is designed for reliability, often with access to redundant power feeds.
Market Access, Business & Tax Climate
Hamilton benefits from its position within the Cincinnati metropolitan area and Ohio's favorable business environment.
Proximity To Key Business Districts: The market provides low-latency connectivity to the business districts of Cincinnati and Dayton. This makes it a practical location for local enterprises needing off-site infrastructure for production or disaster recovery.
Regional Market Reach: From Hamilton, services can effectively reach the entire southwestern Ohio region, including a population of several million. It serves as a solid base for content delivery and application hosting aimed at this Midwest corridor.
Tax Advantage For Data Centers: Ohio offers significant tax incentives for large-scale data center investments. The state's tax credit authority can award negotiated tax breaks, which reduces the financial burden of capital expenditures and long-term operational costs.
Natural Disaster Risk
Hamilton has a very low natural disaster risk profile, making it an excellent location for critical infrastructure requiring high availability. The Federal Emergency Management Agency (FEMA) gives the area a National Risk Index score of 19.50 out of 100, classifying it as a "Very Low" risk region, as of 2023.
Key risks are primarily limited to regional weather events, including Tornadoes, Winter Weather and ice storms, strong wind, and riverine flooding. The area has minimal exposure to catastrophic events like earthquakes or hurricanes.
