Step-by-Step: Build a Data Center

• – 42% of IT leaders will face a data center build or upgrade in 2010 - one of the most expensive and complex IT projects, it can cost up to $1.6 M for a 1000 square foot data center.
• – Each data center project is unique and should have its own detailed budget. Planning up front and establishing a clear project scope will minimize expensive changes in later project stages.
• – Industry benchmarks are not always accurate – the absence of a budget risks cost overruns by 22%. Hidden costs for landscaping, permits, and security can increase capital investments. Ongoing operating expenses must also be budgeted, as they represent 65% of the total costs associated with building a data center.
• – Accurate estimates of facility requirements are a critical input to the project’s budget.
• – Power and cooling supply requires careful estimation to accommodate future growth yet avoid unwarranted costs.
• – Fire protection is mandated by law and comes with real consequences as it can impact life safety.
• – Site selection should identify any potential issues that may lead to additional construction costs, especially in an existing building.
• – Hire a specialized general contractor and avoid those who build office spaces only. Data centers have more stringent, unique code requirements. Use specialized talent to avoid costly retrofit later.

• – Data centers are getting bigger and more complex.
• – Despite the availability of consolidation technologies, organizations Info-Tech surveyed were two times more likely to increase the size of their data center than decrease it.
• – Internal expertise is most often lacking to undertake the build.
• – Data center facilities require specific industrial design and engineering requirements to meet the needs for fire-protection, power provisioning, stand-by power, cooling, physical security, and layout.

Complete this project charter before the project commences to identify a clear and defined scope, decision rights, potential risks, and receive executive sponsorship.

The “Data Center Build Project Charter Template” will help you:

• – Understand just how big a project you are building.
• – Provide input into a build vs. buy decision.
• – Provide a project approval for business leaders to sign off on.
• – Reduce external costs of the project overall.

• – On average, a 1000 square foot data center costs $1.6 M.
• – Each project is unique and should have its own detailed budget; create a detailed list of expected expenses for an accurate budget.
• – Consider ongoing costs in your initial budget calculations, as they make up the bulk of the total costs associated with building a data center.
• – Some major ongoing operating expenses include:
• – Building leases
• – Fire suppression systems
• – Mechanical systems for electrical distribution, and in-room cooling

• – Using conventional industry standards can lead to over-estimating the build budget; Info-Tech's research shows actual costs are 22% less.
• – Organizations that rely on the industry standard of $600 to $900 per square foot when creating their budgets run the risk of over budgeting and over spending.
• – As a result, general benchmarks should not be used for a data center build.
• – Organizations should complete their own detailed investment and expenses to accurately budget for their builds.

• – The ITA Premium, “Data Center Facility Budget Tool” enables the organization to account for all costs in order to arrive at an accurate estimate.
• – Accounts for hidden costs, such as janitorial expenses, landscaping, permits, and physical security.
• – Provides a complete example for a 1000 sq ft facility that you can tailor to suit your situation.
• – Factors all necessary renovations, repairs, and upgrades related to purchasing an existing data center into the final cost.
• – Even if you are planning on renovating an existing data center, you can still use the tool to determine ongoing operational costs.

• – Use the “Data Center Power and Cooling Requirements Calculator” to estimate the facility requirements for power, standby power, and cooling for your facility.
• – Accurate estimates of facility requirements are a critical input to the project’s budget.
• – Use this tool to estimate existing & future:
• – IT equipment power load requirements.
• – Cooling load requirements.
• – Standby power load requirements.
• – For more detailed guidance on requirements gathering, refer to the research note, “Data Center Facility Requirements Estimations At-a-Glance.”

• – The number one consideration when evaluating fire protection options is life safety in the data center. It is mandated by law and non-negotiable.
• – While clean agents can be very effective in suppressing fire and protecting property, they are also expensive to install and maintain and, may be toxic.
• – Refer to the ITA Premium research note, “Fire Protection: Only YOU Can Prevent Data Center Fires” for more detailed guidance.
• – Under NFPA 75 a data center must have a sprinkler system, detection and alarm systems, emergency power-off, and portable fire extinguishers.