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Data Centers in Norfolk

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Norfolk – Strategic Subsea Access to the Mid-Atlantic

Norfolk: A Strategic Gateway for Global Connectivity

Norfolk serves as a critical junction for international subsea fiber landing directly in Virginia Beach, providing low-latency access to global markets. This location is for enterprises requiring high-performance network paths and a resilient alternative to the crowded Northern Virginia corridor. Positioning infrastructure here secures a strategic foothold for international traffic while maintaining proximity to the massive Richmond and Ashburn ecosystems.

Norfolk: At A Glance

FactorRating / DataNotes
Global Connectivity GradeBStrategic subsea cable landing hub.
Direct Cloud On-Ramps0 – as of September 2025Nearest on-ramp hub is Ashburn.
Power Cost$0.07–$0.09/kWh – as of September 2025Competitive industrial rates for the region.
Disaster RiskModerate (27.17) – as of September 2025Moderate risk per FEMA NRI scoring.
Tax IncentivesYesVirginia sales and use tax exemption.
Sales Tax5.30% – as of September 2025Virginia state base rate.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Carrier count: over 4. As of September 2025, Norfolk hosts a specialized set of approximately 5–10 regional and international carriers. The ecosystem is defined by its role as a landing point for major subsea systems, providing direct paths to Europe and South America.

Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions. As of September 2025, there are no direct public cloud on-ramps located physically within Norfolk. The nearest major on-ramp hub is Ashburn, accessible via private wave extensions or dark fiber backhaul to reach major cloud environments.

Internet Exchange Points (IXPs): Most peering occurs via the Virginia Beach cable landing stations or through private interconnects back to national hubs. Public exchange options are limited locally, so high-traffic users typically rely on the Richmond–Ashburn corridor for broader regional peering.

Bare Metal: General availability of bare metal is supported through regional providers. For specific high-performance requirements, Hivelocity and Latitude.sh provide reliable options for managing dedicated hardware in the Mid-Atlantic.

Power Analysis

Average Cost Of Power: $0.07–$0.09/kWh, as of September 2025. These competitive rates allow for predictable operational expenses in high-density environments. The local power mix relies heavily on natural gas and nuclear generation, keeping costs lower than major metropolitan centers in the Northeast.

Power Grid Reliability: The grid in Norfolk is well-engineered and supports the heavy industrial requirements of the Port of Virginia and local naval installations. Data centers benefit from redundant, multi-substation support, ensuring steady delivery for mission-critical hardware.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are located near major military, maritime, and defense sectors. This proximity is vital for government contractors and logistics firms that require low-latency processing for edge applications and port operations.

Regional Market Reach: Norfolk provides the most efficient path for international data entering the East Coast to reach the broader Mid-Atlantic. It serves as a secondary site for Northern Virginia enterprises looking to diversify their geographic footprint.

Tax Advantage For Data Centers: Virginia offers a sales and use tax exemption for data center equipment. This benefit directly lowers the cost of deploying and refreshing server and networking hardware for qualified operators.

Natural Disaster Risk

The Norfolk area carries an NRI score of 27.17, which is categorized as Moderate as of September 2025. This score reflects the environmental profile of a coastal region.

The primary natural hazards include:

  • Hurricanes
  • Heat Waves
  • Strong Winds
  • River Flooding
  • Winter Weather

While coastal flooding is a regional factor to consider for facilities near the shoreline, most purpose-built infrastructure in this market is situated on higher ground or utilizes specific flood mitigation techniques to maintain high availability. Other risks, such as earthquakes or landslides, are minor and not listed as material threats.

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