Data center space under construction in Atlanta reached another record high during the first half of 2024, according to CBRE’s latest North American Data Center Trend Report. 

Under-construction activity increased 76% year over year to 1,289.1 megawatts (MW), up from 732.6 MW in H2 2023. Henry County alone has more than 500 MW of data center projects underway. Atlanta remains the only primary data center market tracked by CBRE to have more space under construction than online. 

If all of Atlanta’s under-construction space delivered tomorrow, it would become North America’s second-largest data center market, trailing only Northern Virginia. The capital of the Peach State currently ranks seventh in existing inventory among primary markets.

In North America, data center construction continues to reach new highs as developers race to meet demand. There was 3,871.8 MW under construction (an increase of 69.2% from a year ago) in the first half of 2024, of which nearly 80% (3,056.4 MW) had been preleased. A shortage of available power and longer lead times for new electrical infrastructure continue to delay completions.

“The trend has been consistent over the past two years: Demand for data center capacity far exceeds supply, which continues to drive up pricing in a material way,” said Pat Lynch, Executive Managing Director and Global Head of CBRE Data Center Solutions. “Based on the preleasing numbers in this report and forecasts for demand, we expect to see this imbalance continue for several more quarters.”

There were 515.0 MW of new supply added in the eight primary North American data center markets in H1 2024, equivalent to adding the entirety of Silicon Valley’s existing inventory. That first-half construction increased the eight-market inventory of data center space by 10% from year-end 2023 and by 24% (1,100.5 MW) a year ago. 

In Atlanta, 39 MW have been added since last year. Overall, Atlanta’s inventory is up 118% since 2020, the third-highest increase among primary markets.

“Georgia is poised to be the front runner for data center development in North America for the foreseeable future," said Mike Lash, first vice president with CBRE in Atlanta. “Our state will continue to stay open for business and the diverse utility options available here give us a clear advantage over other primary markets.”

Top Data Center Markets

Northern Virginia remained the largest data center market in H1 2024 with 2,611.1 MW of inventory and 108.1 MW of total absorption, down 87.4 MW (43.9% decrease) year over year. Two markets saw higher leasing activity in the first half of the year: Hillsboro, Oregon (171.2 MW absorbed, a 120% increase year over year) and Phoenix (148.1 MW absorbed, a 238% increase year over year).

Top 10 Largest Markets

To view the full report, click here.