Chapter 2
Chicago Data Center Market
North America Data Center Trends H1 2026
3 Minute Read
3 Minute Read
Colocation Insights
- Large tech, neocloud and enterprise demand in H1 increased rental rates and drove the overall vacancy rate to 2.2%.
- Strong preleasing for new supply has led to a sub-10% vacancy rate for projects delivering by year-end 2027.
- No contiguous data center space of 5 MW or more will be available this year, and all large contiguous projects are expected to deliver in late 2027 at the earliest.
Market Trends
- Developers are increasingly prioritizing power availability over traditional location considerations for new data center sites.
- Anticipated revisions to Illinois’ Biometric Information Privacy Act this year have led hyperscalers to consider more politically friendly markets.
- Illinois paused its state-level data center incentives through the mid-November veto session, when Governor Pritzker plans to push for a comprehensive regulatory framework. Applications submitted before July 1, 2026, will not be affected.
Notable Activity
- Aligned Data Centers is planning a 1-GW campus in Coal City, Illinois.
- Tract is planning a 1-GW campus in Morris.
- Microsoft leased Compass’ campus in Hoffman Estates.
Figure 1: Historical Market Information
Figure 2: Historical Supply and Demand
Figure 3: % of Total Primary Market Inventory
Figure 4: Market Fuel Mix
Figure 5: Average Asking Rates
Report Contacts
Property Type
Data Center Solutions
Our lifecycle data center service offering consolidates your data center real estate, facilities and technology systems into a single operational and financial model.