Data Centers in Corvallis
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Corvallis – Efficient Power in a Strategic Oregon Location
Corvallis provides a specialized data center market for organizations targeting Oregon's Willamette Valley. The region's primary advantages are its 0% sales tax, significant tax abatement programs for data centers, and a power grid with a high concentration of low-cost renewable energy. This combination creates a compelling financial model for specific workloads that do not require the dense connectivity of a primary hub like Hillsboro.
Corvallis: At A Glance
Factor | Rating / Data | Notes |
---|---|---|
Global Connectivity Grade | B | A secondary market with solid regional connectivity. |
Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest cloud hubs are in the Portland/Hillsboro area; private extension is possible. |
Power Cost | $0.07 – $0.09/kWh | Oregon's grid features over 60% renewables, primarily from hydroelectric sources. |
Disaster Risk | High (89.82 Score) – as of September 2025 | Main risks include earthquake, wildfire, and winter weather events. |
Tax Incentives | Yes | A 15-year tax abatement is available for data center developers via SIP programs. |
Sales Tax | 0.00% – as of September 2025 | No state sales tax provides significant savings on hardware and software purchases. |
Network & Connectivity Ecosystem
Corvallis is a niche connectivity market suited for local and regional deployments.
- Carrier Density & Carrier Neutrality: The market contains a focused set of local and regional providers, as of September 2025. Carrier-neutral options are available, though the ecosystem is smaller than in nearby Portland.
- Direct Cloud On-Ramps: There are no direct cloud on-ramps in Corvallis, as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud (GCP), and Microsoft Azure via the primary interconnection hub in Hillsboro, accessible through private network extensions.
- Internet Exchange Points (IXPs): Public peering is not a feature of the Corvallis market. Most peering is conducted privately or through major exchanges located in the Portland metropolitan area.
- Bare Metal: Bare metal server options are available from providers that can service regional locations. Services from companies like Hivelocity or phoenixNAP can support deployments in secondary markets.
Power Analysis
Oregon offers one of the most favorable power environments in the United States, characterized by low costs and a high percentage of renewable sources.
- Average Cost Of Power: Industrial electricity rates typically range from $0.07 to $0.09/kWh, as of September 2025. This competitive pricing, driven by abundant hydropower, directly reduces operational expenditures for compute-intensive workloads.
- Power Grid Reliability: The regional power grid is well-engineered and reliable. The energy mix is dominated by renewables (approximately 62%), with hydroelectric power contributing about 40%, ensuring a stable and sustainable power source.
Market Access, Business & Tax Climate
Corvallis offers compelling financial incentives and serves as a strategic point of presence for the southern Willamette Valley.
- Proximity To Key Business Districts: Data centers in Corvallis are well-positioned to serve Oregon State University, a major research institution, along with the growing technology and engineering firms in the surrounding area.
- Regional Market Reach: The market provides low-latency access to Eugene, Salem, and other population centers between Portland and the California border.
- Tax Advantage For Data Centers: Oregon has no state sales tax, eliminating a major capital expense when purchasing servers and network equipment. Additionally, data center developers can benefit from a 15-year property tax abatement through the state's Strategic Investment Program (SIP).
Natural Disaster Risk
Corvallis has a High natural disaster risk profile, with a FEMA National Risk Index score of 89.82, as of September 2025. The risk profile is consistent with its Pacific Northwest location.
Key risks include:
- Earthquake
- Wildfire
- Volcanic Activity
- Winter Weather & Ice Storms
- Riverine Flooding
- Landslide