Prime to Develop 40 MW Data Center in Madrid’s Alcobendas Hub

DateMay 26, 2024

Prime, an international hyperscale and wholesale data center provider, has announced plans to develop a 26,000 square-meter data center in Madrid, Spain. The company has secured 7.6 acres in Alcobendas, a prominent data center hub, for this new facility, which will deliver 40 megawatts of critical power.

Nicholas Laag, Founder and CEO of Prime Data CentersAlcobendas, known for its robust data center ecosystem, would account for 41 percent of the country’s live colocation power consumption. Prime Madrid will cater to the increasing demand for hyperscale cloud and artificial intelligence power density requirements.

Nicholas Laag, Founder and CEO of Prime Data Centers, highlighted the strategic significance of this development: “With forty-four megawatts of take-up in 2023, power challenges limiting FLAPD markets, and information governance mandating in-country data center presence, it is clear that Madrid is poised for strong growth over the foreseeable future.” He emphasized that Alcobendas is an ideal location for Prime’s first data center in Madrid, offering easy access to fiber networks and a skilled labor pool.

Madrid’s market dynamics played a crucial role in Prime‘s decision to expand in this location. The city’s hyperscale demand base represented an estimated 74% of 2023 take-up across self-build and colocation data centers. Additionally, Madrid’s central location not only serves a large population but also acts as a primary network relay point for coastal regions and Portugal. The Prime Madrid facility, situated at Calle de la Pedriza 1, Alcobendas, will be in close proximity to local Internet Exchange Points, optimizing customer network performance.

Ambitious Data Center Expansion Strategy

Michael Wall, Senior Vice President of Development and Construction for Prime in Europe, expressed optimism about the project: “Having spent the last twenty-five years in Madrid, it is encouraging to see the hard work and preparation put in by so many local stakeholders result in readiness to capitalize on the recent surge in demand. Prime believes this strong foundation will sustain data center growth in Madrid, further validating its place alongside the most influential digital infrastructure markets in Europe. We are excited to contribute to the success story.”

Prime’s ambitious expansion strategy includes a three-plus gigawatt roadmap with twenty-two owned and optioned locations in the United States and Europe. Recent announcements have detailed nearly 500 megawatts of capacity in Denmark, Phoenix, and Chicago. Additionally, Prime projects the opening of its partially pre-leased Los Angeles data center in October 2024.

This latest development would underscore Prime’s commitment to meeting the growing demand for advanced data center solutions while solidifying its position as a key player in the international data center market. The new facility in Madrid is expected to significantly enhance the digital infrastructure landscape in the region, providing critical support for hyperscale and AI-driven applications.

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