NYC Colocation
Data Centers Across the New York Metro: the Six Zones, What Each Costs, and Which Providers Fit Your Workload
New York is six colocation markets, not one, priced from $350 to $1,400 per kW, and choosing the zone matters more than choosing the building. We compare every zone and provider that fits.
Price My NYC RequirementThe short answer
Most companies choose between three zones: Manhattan carrier hotels for maximum connectivity, Secaucus for the trading ecosystem, and northern New Jersey or Orangeburg for the best economics and the highest density. The rest of the metro serves narrower needs: Staten Island for internet peering, the outer boroughs for edge deployments, and the northern fringe for disaster recovery.
Sources: CBRE North America Data Center Trends H1 2026; New York Executive Order 62, July 14, 2026. Smaller-deployment range is a Metro Colo Advisory estimate.
The Six Zones of the NYC Colocation Market
New York colocation is not one market. It is six zones, each with its own economics and its own kind of buyer. Choosing the zone comes before choosing the facility, and it usually matters more.
| Zone | Key facilities | Cost | Best for |
|---|---|---|---|
| 1. Manhattan carrier hotels | 60 Hudson Street, 111 8th Avenue, 32 Avenue of the Americas, 75 Broad Street | $$$$$ | Maximum carrier diversity, cloud on-ramps, Manhattan network presence |
| 2. Secaucus, NJ | Equinix NY2 to NY6, CoreSite NY2 and NY3 | $$$$$ to $$$$$ | Trading firms, market data, brokers, hybrid cloud |
| 3. Northern NJ and Orangeburg, NY | 165 Halsey Street in Newark, Cologix in Parsippany, DataBank LGA3 in Orangeburg | $$$$$ to $$$$$ | Enterprise economics, high density and AI, secondary sites |
| 4. Staten Island | Telehouse, with NYIIX internet exchange access | $$$$$ | Media, content delivery, bandwidth-heavy businesses |
| 5. Brooklyn and Queens | Emerging edge facilities | $$$$$ | Outer-borough operations, edge computing |
| 6. Westchester and Connecticut | Metro fringe facilities | $$$$$ | Disaster recovery with geographic separation |
Cost ratings are Metro Colo Advisory estimates relative to the NYC metro range, not quotes.
Zone 1: Manhattan carrier hotels
The most carrier-dense and most expensive zone in the metro, and the heart of carrier neutral colocation in New York City, where tenants choose from many networks rather than one. The major buildings are 60 Hudson Street, the former Western Union building; 111 8th Avenue; 32 Avenue of the Americas; and 75 Broad Street. The premium pays for itself when your architecture depends on reaching many networks, cloud providers or counterparties from a Manhattan address. For building-by-building detail, see our Manhattan data centers guide.
Best for: maximum carrier diversity, direct cloud on-ramps, and proximity to Manhattan-resident networks.
Zone 2: Secaucus, NJ, the trading ecosystem
The center of the region's electronic trading infrastructure. Equinix NY4 and its neighbors on the Equinix campus (NY2, NY3, NY5 and NY6) host brokers, FX venues, market data providers and trading firms, with Cboe's US equities matching engines in NY5 and low-latency links to the other exchange data centers in Mahwah, Carteret and Weehawken. CoreSite operates NY2 and NY3 in the same submarket, with strong cloud connectivity through its Open Cloud Exchange.
Best for: trading firms, market data providers, prime brokerage connectivity and fintechs that touch market infrastructure. Deciding between the two largest providers? See Equinix vs Digital Realty.
Zone 3: Northern New Jersey and Orangeburg, NY
Enterprise colocation without the carrier hotel premium. In Newark, 165 Halsey Street is the state's main carrier hotel, with DataBank and Equinix among its operators. Cologix offers capacity in Parsippany, and Digital Realty operates trading-hub sites in Weehawken and Clifton. Just over the state line in Orangeburg, New York, DataBank LGA3 is built for high density, making it a strong option for AI and GPU colocation.
Best for: cost-conscious enterprise deployments, high-density and AI workloads, secondary sites, and anything that does not need a Manhattan or Secaucus address.
Zone 4: Staten Island, the peering hub
Telehouse's Staten Island campus is home to NYIIX, the New York International Internet Exchange, one of the larger peering exchanges in the world. For businesses where bandwidth costs dominate the budget, direct peering can change the economics. The trade-off is location, so it suits workloads that need the exchange more than a Manhattan address.
Best for: media companies, content delivery at scale, and internet-centric businesses.
Zone 5: Brooklyn and Queens, emerging edge
A growing edge presence serving the outer boroughs and Long Island. Less carrier-dense than Manhattan, but useful when latency to local operations matters.
Best for: companies with large outer-borough operations, edge computing and select disaster recovery designs.
Zone 6: Westchester and Connecticut, the metro fringe
Lower-cost facilities at the northern edge of the metro. Rarely the right primary site, but valuable when disaster recovery requires geographic separation from Manhattan and New Jersey.
Best for: disaster recovery and secondary deployments where distance from the core is the point.
Send us your requirement. We compare the zones and providers that fit it, before you talk to any sales team. No cost to you.
How to Choose the Right Zone
Start with what the infrastructure connects to, not where your office is. The most common mistake is choosing a zone by geography. A company that assumes it needs Manhattan because its offices are there often finds that a New Jersey facility with private circuits back to the office meets every requirement at a lower total cost.
What NYC Colocation Costs
Pricing varies by zone, facility, density, contract term and deployment size. Smaller retail deployments run roughly $350 to $1,400 per kW per month, from New Jersey campuses at the low end to Manhattan carrier hotels at the top. Large requirements have repriced fastest: CBRE recorded a 19 percent rise in New York Tri-State asking rates for 10 MW and up in the first half of 2026, the steepest of any primary market, and several markets have now passed the Tri-State in total inventory.
Contract term matters. Longer commitments unlock lower rates, and five-year terms reach pricing that one-year deployments cannot. The right term depends on your growth and how much flexibility you need.
Budget beyond the rate. Quotes usually exclude cross-connects, remote hands, extra cooling and managed services, which together can add materially to the monthly bill. For the full breakdown, see our colocation pricing guide, and for the terms that govern it, our data center lease guide.
Site and power feasibility, market studies and acquisition due diligence for developers and investors in this market, in writing at a fixed fee agreed before work starts. See data center consulting, powered land and data center valuation.
Disaster Recovery and Secondary Sites
Many companies need a primary site and a disaster recovery site with real geographic separation, and the metro offers both without leaving the region. For most companies, 15 to 50 miles of separation is the practical range: far enough to survive a local event, close enough for low-latency replication.
| Primary site | Typical DR pairing | Why |
|---|---|---|
| Manhattan | Orangeburg, NY or northern New Jersey | Real separation at a lower cost, with latency that supports replication for most workloads |
| Secaucus | Manhattan, or Westchester and Connecticut | Separation from the New Jersey financial district while keeping metro connectivity |
| Any zone | A lower-cost zone than the primary | DR sites rarely need the connectivity of the primary, so cheaper zones usually fit |
NYC Colocation Providers Compared
The major providers in the metro, where they operate, and the workloads each is best known for.
| Provider | Where in the metro | Known for |
|---|---|---|
| Equinix | Secaucus campus (NY2 to NY6), Newark (NY1), North Bergen (NY7), Manhattan | The trading ecosystem, market data and dense interconnection |
| Digital Realty | Manhattan carrier hotels, Weehawken, Clifton | Carrier hotel connectivity, cloud access through ServiceFabric, multi-site footprints |
| DataBank | LGA3 in Orangeburg, NY; 165 Halsey Street in Newark | High density and AI, enterprise economics |
| CoreSite | Secaucus (NY2 and NY3) | Hybrid cloud through its Open Cloud Exchange, value within Secaucus |
| Cologix | Parsippany, NJ | Regional New Jersey connectivity and flexible mid-size deployments |
| Telehouse | Staten Island | NYIIX internet exchange and peering-driven economics |
There is no single best provider in New York; each is strongest for a different kind of workload. See every provider side by side in our NYC provider comparison.
Five Mistakes Companies Make Choosing NYC Colocation
The Independent Advisory Approach
In a market with six zones, an independent advisor's first job is helping you choose the right zone, before anyone picks a facility. Each provider naturally presents the case for its own buildings. An advisor who places with all of them can compare them on your requirement alone.
Think of Metro Colo Advisory like a buyer's agent in real estate. We represent you through evaluation, negotiation and contracting. The provider you choose pays our commission when the deal closes, so placement costs you nothing. We maintain channel relationships with every major provider in the metro, and commissions do not change what we recommend. For the decisions behind site choice, see our colocation site selection guide.
We benchmark your requirement across the zones and providers that fit, then negotiate the terms. No cost to you.
Frequently Asked Questions About NYC Colocation
What is the best colocation in NYC?
There is no single best colocation in NYC; the right facility depends on your workload, connectivity, compliance and budget. Financial services workloads usually belong in the Secaucus ecosystem around Equinix NY4. Enterprise workloads without an ecosystem need often do best in northern New Jersey or Orangeburg, New York. Bandwidth-heavy media workloads often fit Telehouse on Staten Island. We evaluate the right facility for your situation at no cost.
How much does NYC colocation cost?
Smaller retail deployments in the NYC metro run roughly $350 to $1,400 per kW per month, from New Jersey campuses at the low end to Manhattan carrier hotels at the top. Large requirements have repriced fastest: CBRE recorded a 19 percent rise in New York Tri-State asking rates for 10 MW and up in the first half of 2026. Your rate depends on zone, density, term and deployment size.
Should I colocate in Manhattan or New Jersey?
For most deployments, New Jersey delivers comparable infrastructure at a lower total cost than Manhattan. The Manhattan premium pays for itself when your workload needs direct connections to networks, cloud providers or counterparties in the Manhattan carrier hotels. Most enterprise workloads can reach Manhattan networks over private circuits from New Jersey for less.
Who are the top NYC colocation providers?
Six operators serve the metro's mid-market: Equinix (the Secaucus campus, Newark, North Bergen and Manhattan), Digital Realty (the Manhattan carrier hotels, Weehawken and Clifton), DataBank (LGA3 in Orangeburg and 165 Halsey Street in Newark), CoreSite (NY2 and NY3 in Secaucus), Cologix (Parsippany) and Telehouse (Staten Island). Each is strongest for a different workload; the full comparison is on our provider comparison page.
Where is the best disaster recovery site for NYC primary infrastructure?
For Manhattan-primary deployments, Orangeburg, New York, and the northern New Jersey campuses are common disaster recovery choices: real geographic separation, latency that supports replication for most workloads, and lower cost. For Secaucus-primary deployments, the Manhattan carrier hotels provide separation while keeping metro connectivity, and Westchester and Connecticut add distance when requirements call for it.
What does carrier neutral data center mean in the NYC market?
A carrier neutral data center lets tenants choose from many independent network providers rather than being tied to one carrier. In the NYC metro, the most carrier-dense facilities are the Manhattan carrier hotels at 60 Hudson Street, 111 8th Avenue and 32 Avenue of the Americas, Equinix NY4 in Secaucus, and Telehouse on Staten Island. Each offers a different carrier mix suited to different uses.
Which NYC colocation facility is best for HIPAA compliance?
Several NYC metro providers support HIPAA-compliant deployments, including Equinix, DataBank and CoreSite. The right facility depends less on which provider supports HIPAA and more on the specific compliance documentation, audit cadence and business associate agreement scope you need. We confirm each provider's compliance scope against your requirements before any commitment. See our healthcare and HIPAA colocation guide.
What is the most cost-effective NYC colocation option?
The New Jersey and Orangeburg campuses sit at the value end of the metro for enterprise workloads that do not need a Manhattan address or the Secaucus trading ecosystem, with modern, high-density-capable infrastructure and solid metro connectivity; DataBank LGA3 and the Newark and Parsippany facilities are the usual shortlist. For workloads where bandwidth costs dominate, Telehouse on Staten Island offers strong internet peering economics. We model the most cost-effective option for your specific requirement at no cost.
Is Equinix NY4 worth the premium for non-financial-services workloads?
Usually not. The NY4 premium pays for the financial ecosystem connectivity the facility concentrates. Workloads that do not need direct exchange or market data connectivity rarely benefit enough to justify it over alternatives such as CoreSite in the same submarket or the New Jersey and Orangeburg campuses nearby, and even Equinix campus connectivity is available at a lower rate in NY5 and NY7.
What is the difference between Equinix NY4, NY5, and NY7?
Equinix NY4 and NY5 sit side by side on the Secaucus campus. NY4 is the center of the trading ecosystem, home to brokers, FX venues, market data providers and trading firms. NY5 hosts Cboe's US equities matching engines and connects to NY4 by campus cross-connect, which makes it a common choice for firms that need the ecosystem at a lower rate. NY7 is in North Bergen, just north of Secaucus, and adds Equinix capacity in the area with a metro connection to the campus.
Beyond New York
Metro Colo Advisory covers colocation across North America, with channel relationships spanning the major providers, including Equinix, Digital Realty, DataBank, CoreSite, Cologix, TierPoint and Flexential. Beyond the New York metro, see our guides to colocation in Chicago, Dallas, Washington DC, Atlanta, Houston, Los Angeles and San Francisco. For larger requirements, see wholesale colocation.
Ready to Find the Right NYC Colocation?
The right answer depends on what your infrastructure needs to reach, how fast you are growing, what compliance requires and how much flexibility you need. Tell us your requirement, and we will come back with the zones and providers that fit, what comparable companies pay, and the terms worth negotiating. Placement costs you nothing.
For building-level detail, see our Manhattan data centers guide and our Equinix NY4 guide. By industry: financial services, healthcare and HIPAA and media and entertainment.
