Cushman & Wakefield has published its “2026 Data Center Development Cost Guide,” revealing data center construction costs have risen an average of 21 percent per megawatt since the previous edition was published in fourth quarter 2024.
Covering markets across the United States and Canada, the guide provides a comprehensive overview of data center development economics spanning land acquisition, labor markets, construction costs and capital expenditure trends across primary, secondary, tertiary and frontier markets. It attributes rising development costs to worsening supply chain constraints, rising skilled labor wages, evolving land fundamentals and escalating costs for critical components.
“The data center industry is entering a new phase where access to power, land, and skilled labor are increasingly determining where growth can occur,” said John McWilliams, head of data center insights at Cushman & Wakefield. “Our ‘2026 Data Center Development Co
