What measures should data center owners take to protect against cost overruns?

DEREK G. WEISBENDER, REAL ESTATE PARTNER

“Owners can save time and gain certainty by negotiating key commercial and legal terms in advance, before a new project arises, with a trusted group of contractors operating in the region.”

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DAVID M. NORTON, REAL ESTATE PARTNER

“If you’re building in response to demand, keep flexibility in the schedule. Phased work releases can let you move forward as needs become clear, whether that means fitting out part of a data hall or planning future buildings on a campus.”

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KLED BACI, REAL ESTATE ASSOCIATE

“Because data centers rely heavily on specialized, high-value equipment, owners may benefit from buying key items directly. Proactively sourcing such key project components can help manage long lead times, capture volume discounts, and avoid contractor markups, while still paying the contractor to receive, store, and install the equipment.”

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