Colocation Site Selection — Independent Mid-Market Guide
Independent guide to colocation site selection for mid-market companies — geographic zone analysis, RFP process, power planning methodology, facility evaluation framework, and free advisory from Metro Colo Advisory.
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Colocation Site Selection — The Independent Mid-Market Guide
Colocation site selection is the infrastructure decision that defines your costs, capabilities, and compliance posture for the next three to five years. Choose the wrong facility — the wrong geographic zone, the wrong provider, the wrong contract terms — and you spend the full term of the contract living with the consequences. Choose correctly and your infrastructure becomes a competitive advantage rather than a cost center.
Most mid-market companies approach colocation site selection the wrong way. They evaluate one or two providers they already know, accept initial quotes without benchmark data, and sign contracts without understanding which terms are negotiable.
The result is almost always above-market pricing and below-market contract terms — on a three to five year commitment.
This independent colocation site selection guide covers the complete framework for choosing the right colocation facility — geographic zone analysis, power planning methodology, the RFP process, facility evaluation criteria, and contract negotiation principles. Consider this your independent colocation site selection review — written by an advisor with no financial stake in which provider or facility you choose.
The single most important thing you can do in colocation site selection is run a simultaneous competitive RFP across every qualifying provider before talking to any of them individually. Companies that do this consistently pay 15 to 30 percent less than companies that evaluate providers sequentially. Metro Colo Advisory manages this entire process for you — requirements definition, simultaneous RFP, evaluation, and contract negotiation — at no cost.
Colocation Site Selection Decision Matrix — Which Provider Fits Which Requirements
The following matrix summarizes which NYC metro colocation provider best fits common deployment requirements. Use this as a starting point for narrowing your shortlist before engaging providers in a competitive RFP.
| Deployment Requirement | Primary Recommendation | Secondary Option | Not Recommended |
|---|---|---|---|
| Financial trading (NY4 ecosystem) | Equinix NY4 | Equinix NY5 | DataBank Orangeburg |
| Standard enterprise (Secaucus) | CoreSite NY2/NY3 | Equinix NY5 | Manhattan carrier hotels |
| Manhattan carrier connectivity | Digital Realty 60 Hudson | Digital Realty 111 8th Ave | Orangeburg facilities |
| AI/GPU high density (10-100kW) | DataBank LGA3 (DGX Ready) | Equinix NY5 | Manhattan carrier hotels |
| HIPAA + high density combined | DataBank LGA3 | DataBank Newark | Cologix Parsippany |
| Hybrid cloud (Open Cloud Exchange) | CoreSite NY2/NY3 | Digital Realty (ServiceFabric) | Cologix Parsippany |
| Cost-sensitive enterprise | Cologix Parsippany | DataBank 165 Halsey Newark | Manhattan carrier hotels |
| Disaster recovery (geographic separation) | Cologix Parsippany | DataBank Orangeburg | Same-zone primary site |
| Healthcare HIPAA | DataBank LGA3 | CoreSite NY2 | Manhattan carrier hotels |
| Multi-site national infrastructure | Cologix or Digital Realty | DataBank | Single-facility providers |
This matrix reflects independent advisor positioning based on current market conditions. Specific recommendations for your deployment depend on detailed requirements analysis. Metro Colo Advisory runs the full requirements assessment and produces a tailored shortlist at no cost.
What Is Colocation Site Selection — Why It Matters More Than Most Companies Realize
Colocation site selection is the process of identifying, evaluating, and choosing the professional data center facility that best fits your specific infrastructure requirements — power density, connectivity, compliance certifications, geographic location, and budget — before committing to a long-term contract.
It sounds straightforward. It is not. The NYC metro market alone has five major providers across three distinct geographic zones with meaningfully different pricing, connectivity profiles, compliance postures, and contract structures. The right facility for a financial services firm running trading infrastructure is completely different from the right facility for a healthcare organization deploying AI workloads. The right facility for a company prioritizing hybrid cloud colocation is different from the right facility for a company prioritizing disaster recovery colocation and geographic separation.
Getting site selection right before engaging any provider saves significant money — typically 15 to 30 percent on power rates and meaningfully more on contract terms — because the evaluation process itself creates the competitive leverage that produces better pricing. Getting it wrong means paying above-market rates on a contract that is difficult to exit.
The most important thing to understand about colocation site selection: it is a process, not a decision. Companies that treat it as a single decision — “we need colocation, let’s call Equinix” — consistently pay more and sign worse contracts than companies that run a structured evaluation process before talking to any provider.
Step 1 — Define Your Actual Requirements Before Evaluating Any Facility
The most common and most expensive mistake in colocation site selection is engaging providers before requirements are clearly defined. Provider sales teams are skilled at shaping requirements around their facility’s capabilities. If you enter any provider conversation without a clear picture of your actual requirements you will leave that conversation with requirements that conveniently fit their facility — regardless of whether it is the right fit for your business.
Define these five things before making any provider contact:
Power draw in actual kilowatts:
Not nameplate ratings — actual measured draw with 20 to 30 percent growth headroom. Most companies significantly overestimate their power requirements when they start with nameplate ratings rather than actual measured utilization. Overestimating power requirements means committing to — and paying for — more power than you use for the full contract term. Underestimating means capacity constraints after you move in. Measure actual utilization before any site selection conversation begins.
For standard enterprise compute workloads — servers, storage, networking — typical measured utilization is 3 to 8 kilowatts per rack. For AI and GPU workloads — high density colocation requirements range from 10 to 100 kilowatts per rack depending on the GPU configuration. H100 and H200 deployments typically require 20 to 35 kilowatts per rack with air cooling. B200 and GB200 deployments require liquid cooling at 50 to 100 kilowatts per rack.
Connectivity requirements:
- Which carriers do you need access to? Which cloud providers need direct private connectivity — AWS, Azure, Google Cloud?
- Do you need financial ecosystem cross-connects to prime brokers, market data providers, or exchange infrastructure?
- Do you need specific internet exchange access?
Connectivity requirements narrow the list of qualifying facilities significantly — a company with specific carrier relationships may only qualify two or three NYC facilities regardless of other criteria.
Carrier neutral data center facilities give you maximum flexibility on carrier selection compared to single-carrier or carrier-restricted environments.
Compliance certifications required:
SOC 2 Type II is the baseline for most enterprise deployments. Add HIPAA BAA for healthcare data. PCI DSS for payment card environments. SOC 1 Type II for financial reporting controls. FINRA and SEC-relevant certifications for regulated financial services firms. Your facility’s certifications become part of your own compliance posture — a gap in facility certifications is a gap in your compliance program. Colocation for financial services firms, colocation for healthcare organizations, and colocation for law firms all have distinct compliance requirements that narrow the field meaningfully.
Geographic requirements:
- Do you need a specific zone — Manhattan carrier hotel, Secaucus campus, Orangeburg or New Jersey?
- Is geographic separation from an existing primary site required for disaster recovery colocation?
- Do you have latency requirements that constrain your geographic options?
- Does your industry require specific data residency or sovereignty considerations that affect geographic choice?
Budget and term:
- What is your monthly infrastructure budget for colocation?
- What contract term are you prepared to commit to — one year, three years, five years?
Longer terms unlock better pricing but reduce flexibility. Shorter terms preserve flexibility but cost more per month. Understanding your budget and term parameters before engaging providers prevents the common situation where a company falls in love with a facility and then discovers the pricing does not fit their budget after three rounds of negotiation.
Step 2 — Understand the NYC Metro Market Zone Structure
The NYC metro colocation market divides into three distinct geographic zones — each with different pricing, connectivity profiles, and buyer profiles. Selecting the right zone is the most consequential site selection decision you make — it determines your base pricing, your connectivity options, and your compliance infrastructure before you evaluate any specific facility.
Zone 1 — Manhattan Carrier Hotels
60 Hudson Street, 111 8th Avenue, 32 Avenue of the Americas
The most carrier-dense buildings in the world. Hundreds of carriers, ISPs, content delivery networks, and cloud providers under one roof. Premium pricing reflects the Manhattan location and carrier density — power rates typically 20 to 40 percent above comparable Secaucus facilities.
- Right for: companies requiring specific carrier relationships available only in Manhattan carrier hotels, financial ecosystem adjacency without full NY4 ecosystem requirements, content delivery infrastructure requiring maximum carrier density, and companies where Manhattan address is a specific business requirement.
- Not right for: standard enterprise deployments without specific carrier hotel requirements, AI and high density GPU deployments where Orangeburg delivers better density and economics, and cost-sensitive deployments where Manhattan pricing is not justified by specific connectivity requirements.
See our Manhattan data centers guide for a complete analysis of the Manhattan carrier hotel zone.
Zone 2 — Secaucus Campus
Equinix NY2, NY4, NY5, NY7, NY9 — CoreSite NY2 and NY3
Mid-market pricing with full financial ecosystem access and dense carrier connectivity. The Equinix data center campus in Secaucus is the dominant financial trading infrastructure hub — NY4 houses exchange matching engines, prime broker infrastructure, and market data providers with no equivalent anywhere. CoreSite NY2 and NY3 provide competitive Secaucus market access with Open Cloud Exchange hybrid cloud connectivity at pricing consistently more competitive than Equinix for non-financial-ecosystem deployments.
- Right for: financial services companies requiring NY4 financial ecosystem access, companies needing serious connectivity without Manhattan premium, hybrid cloud architectures where Open Cloud Exchange or similar private cloud connectivity is the primary driver, and mid-market enterprise deployments that need Secaucus proximity.
- Not right for: AI and high density GPU deployments where Orangeburg delivers better density and pricing, and cost-sensitive deployments where Parsippany or Newark economics are more appropriate.
Zone 3 — Orangeburg and New Jersey
DataBank LGA3 and LGA4 Orangeburg — DataBank 165 Halsey Street Newark — Cologix Parsippany NJ
Most competitive pricing in the NYC metro market. DataBank LGA3 is the primary recommendation for AI and high density GPU colocation — NVIDIA DGX Ready certified, purpose-built for modern compute workloads, consistently 15 to 30 percent more competitive than Equinix NY5 for comparable GPU density. Cologix Parsippany is the most cost-competitive option for standard enterprise deployments and disaster recovery colocation requiring geographic separation from Manhattan and Secaucus.
- Right for: AI and GPU infrastructure deployments, cost-sensitive primary enterprise deployments, disaster recovery colocation requiring geographic separation from Manhattan and Secaucus, and healthcare organizations requiring simultaneous HIPAA BAA and high density colocation capability.
- Not right for: deployments requiring Manhattan carrier hotel connectivity or direct NY4 financial trading ecosystem access.
For a complete overview of all three zones see our NYC metro colocation market guide.
Step 3 — The Colocation RFP Process — How to Run a Competitive Evaluation
The colocation RFP — Request for Proposal — is the structured process of submitting identical requirements to multiple providers simultaneously and evaluating their responses against consistent criteria. Running a proper RFP is the single most important thing you can do to improve your site selection outcome — it creates the competitive pressure that produces meaningful pricing improvement and surfaces options you would not have found evaluating providers sequentially.
Most mid-market companies do not run a proper RFP. They call one or two providers, get quotes, and negotiate from there. That approach gives providers complete information asymmetry — they know what everyone else charges, you do not. A proper simultaneous RFP eliminates that asymmetry.
The RFP elements that matter:
- Power requirements — total kW committed, density per rack, growth provisions, whether metered or committed power model is preferred.
- Physical space — cabinet count, cage versus suite preference, expansion option requirements.
- Connectivity requirements — specific carriers required, cloud on-ramp requirements, cross-connect requirements by counterparty type, internet exchange access.
- Compliance certifications — list every certification required and request current documentation for each.
- Geographic requirements — zone preference, proximity requirements, geographic separation requirements for DR.
- Term preference — preferred term length, early termination provisions, expansion options.
- Service requirements — remote hands hours, monitoring, security access procedures.
Submit to every qualifying provider simultaneously. Not sequentially. The moment one provider knows you have a competing quote in hand their behavior changes — they compete instead of pitch. That dynamic only works if all providers receive the RFP at the same time.
Evaluate total cost of ownership — not just monthly power rate:
Monthly power rate is one line item. Cross-connect fees, setup costs, remote hands rates, escalation clauses, auto-renewal provisions, and minimum power commitments all have significant financial impact over a three to five year term.
A provider with a lower monthly rate but aggressive escalation clauses often costs more than a provider with a higher rate and no escalation. See our colocation pricing guide for the complete cost evaluation framework.
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Step 4 — Facility Evaluation Criteria — What Actually Matters
Once you have RFP responses from qualifying providers the facility evaluation narrows to specific criteria that differentiate between providers that all technically meet your requirements.
Power infrastructure and redundancy:
Tier 3 and Tier 4 equivalent facilities with N+1 or 2N power redundancy are the standard for enterprise colocation. Multiple independent utility feeds, UPS systems, and generator backup with tested runtime. Verify power redundancy specifications against your uptime requirements — a facility with N power redundancy has a single point of failure. A facility with 2N power redundancy has fully redundant systems with no single point of failure. The difference matters significantly for compliance-driven deployments where availability requirements are contractually specified.
Cooling infrastructure:
For standard enterprise deployments — precision air conditioning maintaining 65 to 75 degrees Fahrenheit with proper hot aisle and cold aisle containment. For high density deployments — verify specific cooling capability per rack. Air cooling typically supports up to 35 kilowatts per rack with proper containment. Liquid cooling is required for deployments above 35 kilowatts per rack and is the only viable option for B200 and GB200 GPU configurations. Do not accept verbal assurances on cooling capability — request technical specifications and site walk-throughs for high density deployments.
Physical security:
Biometric access controls, mantraps, 24/7 on-site security staff, and camera monitoring covering all access points and equipment areas. For compliance-driven deployments — request the facility’s physical security audit documentation as part of the RFP process. SOC 2 Type II reports include physical security controls and provide third-party verification of the security posture you are relying on for your own compliance.
Network infrastructure and carrier access:
Carrier neutral data center facilities give you access to every carrier in the building without restriction. Carrier diversity — redundant paths from multiple carriers — is essential for deployments where connectivity is a primary availability requirement. For hybrid cloud architectures — verify which specific cloud on-ramp options are available and at what pricing before committing. Open Cloud Exchange and ServiceFabric economics vary significantly from standard carrier-based cloud connectivity.
Provider financial stability and operational track record:
A colocation facility is a long-term relationship. Provider financial stability, customer service responsiveness during the RFP process, and operational track record all signal what the relationship will look like once you are locked into a contract. An advisor who has worked with a provider across multiple client engagements has a much clearer picture of post-contract operational experience than any due diligence process can reveal independently.
Step 5 — Contract Negotiation Principles for Colocation Site Selection
The facility selection decision and the contract negotiation are inseparable — choosing the right facility at the wrong contract terms produces a bad outcome as surely as choosing the wrong facility. Here are the contract principles that apply to every colocation site selection regardless of provider.
Escalation clauses:
Most colocation contracts include annual escalation clauses — automatic rate increases of 2 to 5 percent per year applied to your committed monthly rate. Over a five year term a 3 percent annual escalation on a $20,000 monthly commitment compounds to over $60,000 in additional costs compared to a flat rate contract. Negotiating an escalation cap or eliminating escalation entirely is standard independent advisor practice with material multi-year financial impact. Never sign a colocation contract without understanding exactly how the escalation clause works and modeling your total commitment through year five.
Auto-renewal provisions:
Standard colocation contracts auto-renew at the end of their term — frequently at a rate the provider sets unilaterally. Notification windows are typically 90 to 180 days before expiration. Missing the notification window locks you into another full term at whatever rate the provider chooses.
Negotiating extended notification windows, capping auto-renewal rate increases, and building in competitive re-pricing at renewal are standard deliverables from an independent advisor. See our colocation contract guide for a complete framework.
Minimum power commitments:
Committed power contracts lock you into a minimum kW allocation for the full term. Growth provisions — the ability to add committed power during the term — and contraction provisions — the ability to reduce committed power if requirements change — are both negotiable and both matter. Getting the committed power level right at signature prevents either paying for unused capacity or running into constraints as requirements grow.
Cross-connect pricing:
Cross-connect installation fees are almost always negotiable in competitive situations — frequently waived entirely when multiple providers are competing. Monthly cross-connect rates are less negotiable but still subject to compression in competitive evaluations. Budget cross-connect costs accurately before signing — mid-market deployments with 5 to 10 cross-connects can see cross-connect fees represent 20 to 30 percent of total monthly costs at Manhattan carrier hotels.
Remote hands provisions:
Negotiating bundled remote hands hours prevents unbounded hourly charges for routine physical tasks throughout the contract term.
Verify after-hours and weekend rates upfront — the difference between business hours and after-hours remote hands rates is significant and the need for after-hours support is unpredictable.
The NYC Provider Shortlist — Which Facility Fits Which Requirements
After completing the five-step site selection process the shortlist of qualifying NYC facilities typically narrows to two or three options. Here is the independent assessment of when each NYC provider belongs on your shortlist:
Equinix NY4 or NY5 belongs on your shortlist when: financial trading infrastructure requiring NY4 ecosystem access is a requirement, maximum carrier density at enterprise scale is the primary driver, or the financial services compliance posture of the Equinix data center campus is specifically required. See our Equinix NY4 guide for a full independent analysis.
CoreSite NY2 or NY3 belongs on your shortlist when: hybrid cloud architecture requirements make Open Cloud Exchange private cloud connectivity a primary driver, standard Secaucus enterprise colocation is the requirement without specific NY4 financial ecosystem needs, or cost-competitive modern infrastructure in Secaucus is the primary criterion. See our CoreSite NYC guide for a full independent analysis.
DataBank LGA3 or 165 Halsey Street Newark belongs on your shortlist when: high density colocation for AI and GPU infrastructure is a primary requirement, HIPAA BAA combined with high density capability is required simultaneously, or cost optimization is the primary driver for standard enterprise deployments.
DataBank’s 165 halsey st newark nj facility is one of the most searched data center addresses in the NYC market — signaling high buyer intent for cost-competitive New Jersey colocation. See our DataBank NYC guide for a full independent analysis.
Digital Realty 60 Hudson or 111 8th Avenue belongs on your shortlist when: Manhattan carrier hotel connectivity is specifically required, ServiceFabric hybrid cloud connectivity is the primary driver, or global multi-site infrastructure under a single provider relationship is a requirement. See our Digital Realty NYC guide for a full independent analysis.
Cologix Parsippany belongs on your shortlist when: cost optimization is the primary driver for standard enterprise deployments, disaster recovery colocation requiring geographic separation from Manhattan and Secaucus is needed, or national multi-site infrastructure alongside NYC metro presence is being built. See our Cologix NYC guide for a full independent analysis.
For a side-by-side independent comparison of all five NYC providers see our NYC colocation provider comparison.
Common Colocation Site Selection Mistakes — And How to Avoid Them
Evaluating providers sequentially instead of simultaneously:
The most expensive mistake in site selection. Evaluating Equinix first, then CoreSite, then DataBank — one at a time — gives each provider the ability to present without competitive pressure. The moment you submit simultaneous RFPs to all qualifying providers their behavior changes fundamentally. Competitive pressure is the most powerful pricing tool available and it only works when providers know they are competing.
Focusing on monthly rate instead of total cost of ownership:
The provider with the lowest monthly power rate is not always the provider with the lowest total cost over the contract term. Escalation clauses, cross-connect fees, setup costs, remote hands rates, and minimum power commitments all affect total economics significantly. Model total cost of ownership through year three and year five before comparing any two providers on economics.
Underestimating connectivity requirements:
Most companies entering their first colocation evaluation underestimate how many cross-connects they will need and how much those cross-connects will cost monthly. Budget cross-connect costs as a separate line item in every provider comparison — not as an afterthought after the power rate is agreed.
Not requesting current compliance documentation:
Asking “are you SOC 2 certified” gets a yes from every major provider. Requesting the current SOC 2 Type II report and verifying it covers the specific services and spaces you will use gets you actual compliance verification. Always request current documentation — not a website badge or a legacy PDF from two years ago.
Signing without understanding the escalation clause:
The escalation clause is the most financially consequential and least discussed term in a colocation contract. A company that signs a five year contract with a 4 percent annual escalation clause on a $15,000 monthly commitment will pay $18,000 per month in year five — a 20 percent increase from the signed rate. Model escalation impact before signing any contract regardless of how good the initial rate looks.
Choosing a facility based on brand recognition instead of requirements fit:
Equinix is the most recognized colocation brand in the world. It is also the most expensive option in the NYC metro market and not the right answer for a significant portion of mid-market deployments. Choose based on requirements fit and total cost of ownership — not brand recognition. An independent advisor evaluates every provider against your specific requirements without a stake in the outcome.
Why Independent Advisory Changes Colocation Site Selection Outcomes
The colocation market is designed to favor providers over buyers. Provider sales teams negotiate colocation contracts every day and have complete visibility into market pricing across all their competitors. Mid-market companies negotiate colocation contracts once every three to five years and have almost no market intelligence.
Metro Colo Advisory exists specifically to close that gap — bringing current benchmark data, simultaneous competitive evaluation, and contract expertise to every site selection engagement at no cost to the client.
Metro Colo Advisory is an independent colocation broker — we work for you, not for any provider. Think of us the way you would think of a buyer’s agent in real estate. Our commission comes from the provider you choose, paid only when a deal closes. There is no cost to you.
For colocation site selection specifically we provide:
- Requirements definition — working with your team to document actual power draw, connectivity requirements, compliance needs, and geographic constraints before any provider conversation begins.
- Market zone analysis — honest assessment of which NYC metro zone fits your requirements and budget before narrowing to specific facilities.
- Simultaneous RFP management — submitting your requirements to every qualifying provider at the same time and managing the response evaluation process so you never negotiate with one provider in isolation.
- Current benchmark pricing — knowing what comparable deployments at each NYC provider actually pay, not what list pricing says, before you respond to any proposal.
- Contract review — identifying unfavorable escalation clauses, auto-renewal provisions, and minimum power commitments before you sign, and negotiating improvements as part of the site selection process.
Whether you need a colocation consultant for a one-time site selection evaluation or ongoing advisory through a complex multi-site expansion — Metro Colo Advisory provides independent guidance at no cost to you.
For companies evaluating data center migration alongside site selection — our data center migration guide covers the full migration process once the facility is selected. For companies evaluating cloud repatriation economics as part of the site selection decision — our cloud repatriation guide provides the complete financial framework.
Frequently Asked Questions — Colocation Site Selection
What is colocation site selection and why does the process matter so much?
Colocation site selection is the process of identifying, evaluating, and choosing the professional data center facility that best fits your specific infrastructure requirements — power density, connectivity, compliance certifications, geographic location, and budget — before committing to a long-term contract. It is a structured evaluation process not a single decision. Companies that run a proper site selection process — defining requirements before engaging providers, running simultaneous competitive RFPs, and evaluating total cost of ownership rather than just monthly rates — consistently achieve better pricing and contract terms than companies that engage providers sequentially without a framework. Metro Colo Advisory runs the full site selection process for your specific requirements at no cost.
Should I put my colocation in Manhattan, Secaucus, or New Jersey?
The zone decision comes down to your connectivity requirements and budget. Manhattan carrier hotels — 60 Hudson Street and 111 8th Avenue — are right for companies requiring specific carrier relationships, financial ecosystem adjacency, or maximum carrier density, and are willing to pay the Manhattan premium. Secaucus — Equinix and CoreSite — is right for financial ecosystem proximity and serious connectivity at more competitive pricing than Manhattan. Orangeburg and New Jersey — DataBank LGA3 and Cologix Parsippany — is right for AI infrastructure, cost-sensitive deployments, and disaster recovery colocation requiring geographic separation. Metro Colo Advisory maps your specific requirements against all three zones before recommending a facility at no cost.
What should I include in a colocation RFP to get the best pricing?
Your RFP should specify: actual power draw in kilowatts with growth headroom, rack count and density per rack, cage or suite preference, required carriers and cloud on-ramps, compliance certifications required with request for current documentation, geographic zone preference, term length preference, expansion and contraction provisions desired, remote hands requirements, and security access requirements. Submit identical RFPs to every qualifying provider simultaneously — not sequentially — to create the competitive pressure that produces meaningful pricing improvement. Metro Colo Advisory builds and runs your simultaneous RFP across every qualifying NYC provider at no cost.
How long does the colocation site selection and contract process actually take?
A properly run site selection process takes four to eight weeks from requirements definition to contract signing for standard mid-market deployments. Phase 1 requirements definition takes one to two weeks. Phase 2 RFP distribution and response collection takes two to three weeks. Phase 3 evaluation and shortlisting takes one week. Phase 4 contract negotiation takes one to three weeks. Compressed timelines are possible but produce worse outcomes — providers respond to urgency by reducing negotiating flexibility. Build adequate time into your site selection process. Metro Colo Advisory manages the full four-to-eight week timeline on your behalf at no cost.
What is the difference between Tier 3 and Tier 4 data centers and which do I need?
Tier 3 data centers have multiple independent distribution paths serving the critical environment with N+1 redundancy — one redundant component for every active component. Tier 4 data centers have fully redundant subsystems with 2N redundancy — two complete independent systems for every critical infrastructure element. Tier 4 provides higher availability and is harder to take offline for maintenance. Equinix NY4 and NY5 operate at Tier 4 equivalent specifications. Most mid-market deployments are well served by Tier 3 equivalent infrastructure — the Tier 4 premium is justified for deployments with zero-tolerance availability requirements. Metro Colo Advisory evaluates whether Tier 3 or Tier 4 is the right fit for your specific availability requirements at no cost.
How do I verify a colocation facility actually meets my SOC 2 or HIPAA compliance requirements?
Request current certification documentation — not website badges or legacy PDFs. For SOC 2 Type II request the full audit report and verify the report period is current and the scope covers the specific services and spaces you will use. For HIPAA request the facility’s Business Associate Agreement and have legal review the scope and terms before signing. For PCI DSS request the current Attestation of Compliance. For ISO 27001 request the current certificate with validity dates. Metro Colo Advisory verifies compliance documentation for your specific requirements before any provider commitment at no cost.
What is the most expensive mistake companies make when selecting a colocation facility?
Evaluating providers sequentially instead of simultaneously. Companies that call Equinix first, get a quote, then call CoreSite — one at a time — never create the competitive pressure that produces meaningful pricing improvement. Providers respond differently when they know they are competing against a simultaneous RFP than when they are the only provider in conversation. Simultaneous competitive evaluation is the single most valuable structural change most companies can make to their site selection process — and it costs nothing when managed by an independent advisor. Metro Colo Advisory runs the simultaneous competitive evaluation across all five NYC providers at no cost.
Does using a colocation broker for site selection actually save money?
Yes — for the same reason you would use a buyer’s agent when purchasing real estate. The broker is paid by the provider you choose, not by you. The commission exists whether you use an advisor or not. Going direct means negotiating without benchmark data against sales teams that negotiate every day. An independent advisor runs the simultaneous RFP process on your behalf, brings current benchmark pricing to every negotiation, and reviews the contract before you sign — at no cost to you. Metro Colo Advisory provides this independent advisory at no cost.
What do I need to look for in a colocation facility if I have AI or GPU infrastructure?
AI and GPU workloads have specific site selection requirements that standard enterprise colocation cannot meet. Power density — 35 to 100 kilowatts per rack — requires purpose-built high density colocation infrastructure with specialized cooling. Not all facilities can support this density regardless of what their sales teams say. NVIDIA DGX Ready certification is the most reliable independent verification of a facility’s ability to support modern GPU infrastructure. DataBank LGA3 in Orangeburg is the primary independent recommendation for AI and GPU colocation site selection in the NYC metro market — purpose-built high density infrastructure at pricing consistently more competitive than Equinix NY5 for comparable density specifications. Metro Colo Advisory evaluates high density colocation options for your specific GPU configuration at no cost.
Ready to Start Your Colocation Site Selection?
Metro Colo Advisory provides free independent advisory for colocation site selection — requirements definition, zone analysis, simultaneous RFP management, current benchmark pricing across all five NYC providers, and contract review at no cost to you.
Our free assessment takes 60 seconds. Tell us about your power requirements, connectivity needs, compliance certifications, geographic constraints, and timeline. We come back within 72 hours with a shortlist of the two or three NYC facilities that best match your requirements — with current market pricing, honest trade-off analysis, and a clear recommendation on which facility and zone best fits your specific situation.
No cost. No obligation. Real market intelligence for your specific requirements.
Want to understand how Metro Colo Advisory works before filling out the assessment? See how Metro Colo Advisory works →
