QTS Phoenix 2 DC1: 210MW High-Density AI & Hyperscale Hub in Arizona
Status: Fully Operational Hub | Location: 1200 N 40th Street, Phoenix, AZ 85008, United States
Project Overview
QTS Phoenix 2 DC1 is the inaugural facility within QTS’s 85-acre hyperscale data center campus located on North 40th Street in East Phoenix, Arizona. Delivering 42 MW of critical IT capacity, the facility is purpose-built to support hyperscale cloud providers, enterprise digital platforms, and next-generation artificial intelligence (AI) and high-performance computing (HPC) workloads. Engineered for high-density computing, DC1 accommodates rack power densities ranging from 40 kW to more than 100 kW per rack, making it suitable for GPU-intensive AI training clusters and advanced cloud infrastructure. The campus incorporates QTS’s innovative water-free cooling technology, significantly reducing water consumption and conserving millions of gallons annually in Arizona’s desert environment while maintaining high cooling efficiency. Powered by 100% renewable energy, the facility aligns with QTS’s sustainability objectives and helps customers meet their environmental commitments. DC1 is connected through path-diverse dark fiber routes to major Phoenix carrier hotels, internet exchanges, and cloud on-ramp services, providing low-latency, high-bandwidth connectivity for mission-critical applications. The facility also features block-redundant electrical distribution, resilient backup power infrastructure, comprehensive physical security, and automated building management through the QTS Service Delivery Platform (SDP), delivering real-time monitoring, operational visibility, and high availability for enterprise, cloud, and AI-driven deployments.
Quick Facts
| Field | Value |
|---|
| Project Name | QTS Phoenix 2 DC1: 210MW High-Density AI & Hyperscale Hub in Arizona |
| Location | 1200 N 40th Street, Phoenix, AZ 85008, United States |
| Status | Fully Operational Hub |
| Commissioning | Operational / Phased Expansion (2022–2026+) |
| Total IT Load | 42 MW Critical IT Power Capacity Allocation (DC1 Building Load) |
| Total Capacity | 42 MW Total IT Load across a ~350,000 sq ft (~32,500 m²) gross facility footprint (Campus total: 210+ MW across 1.8M sq ft / 85 acres) |
| Tier Level | Tier III Certified Architecture / ISO 27001, ISO 14001, SOC 1 & 2 Type II, PCI-DSS, HIPAA Compliant |
| Project Type | Purpose-Built Hyperscale, High-Density AI Colocation & Enterprise Cloud Hub |
City Profile
| Header | Details |
|---|
| City Name | Phoenix |
| Population | approx 28,184$ |
| Urban Agglomeration | $approx 198,651$ |
| City GDP | $approx $10.91$ Billion USD |
| Per Capita Income | $48,362 USD. |
| City Tier | Secondary U.S. Data Center Market |
| Key Strengths | Vibrant Economy: |
Companies Involved
| Header | Details |
|---|
| Developer / Operator | QTS Data Centers |
| Strategic Infrastructure Partner | SRP (Salt River Project) Utility Network & City of Phoenix Municipal Authorities |
| Construction Contractor | Specialized US Mission-Critical EPC Contractors |
| MEP Engineering | QTS In-House Global Critical Infrastructure Engineering Teams |
| Network Connectivity | Carrier-neutral platform with dual subterranean path-diverse fiber entrance vaults; redundant Meet-Me-Rooms (MMRs); direct dark fiber backhaul linking to Phoenix IX, major regional carrier facilities, and national fiber backbones. |
| Power Infrastructure | Dual dedicated 230kV high-voltage utility substations on-site, static distributed 2N / Block Redundant N+1 uninterruptible power supply (UPS) modules, automated switchgear, and multi-megawatt standby diesel generators with multi-day on-site fuel autonomy. |
Technical Specifications
| Header | Details |
|---|
| Power Capacity | 42 MW Secured Utility Power Allocation (DC1 Building Allocation) |
| UPS Redundancy | Block Redundant / 2N Static UPS Architecture |
| Cooling System | Closed-loop non-evaporative chilled-water systems, zero-water waste dissipation (WUE = 0.0), Direct-to-Chip Liquid Cooling (DLC) and Rear Door Heat Exchanger (RDHx) readiness for high-density AI clusters, and automated BMS environmental controls. |
| Connectivity | Carrier-neutral host offering direct low-latency cloud express on-ramps (AWS, Azure, GCP via QTS SDP) and cross-connect options across North American fiber corridors. |
| PUE Target | < 1.18 Annualized Operational Design PUE |
| Energy Mix | 100% Certified Carbon-Free Renewable Energy integration via long-term solar/wind Power Purchase Agreements (PPAs) with Salt River Project. |
Milestones
| Header | Details |
|---|
| Announcement | 2021 |
| Construction Start | 2021–2022 |
| Phase 1 Go-Live | Operational (2022–2023) |
| Full Buildout | Operational Active Building |
Investment Details
| Header | Details |
|---|
| Total Investment | Estimated $300,000,000 USD to $450,000,000 USD Building 1 Capital Expenditure |
| Funding | Corporate Capital Expenditure & Private Equity Infrastructure Financing (Blackstone / QTS) |