Data Center Investment Due Diligence Checklist

This document is a guide that outlines the due diligence considerations for private equity investors looking to invest in data centers. It details various critical factors that must be evaluated, including power availability, cooling capabilities, workforce needs, security measures, regulatory requirements, and real estate leasing terms. The guide emphasizes the importance of assessing a data center's power capacity and energy requirements, especially in light of increasing demand due to artificial intelligence. It also discusses the environmental impacts of cooling systems and the necessity of evaluating workforce dynamics in rural areas. Security is highlighted as a key factor, with recommendations for assessing both physical and cybersecurity measures. Additionally, the guide stresses the importance of understanding regulatory compliance and leasing terms to ensure stable cash flow. Overall, the document serves as a comprehensive checklist for investors to make informed decisions regarding data center investments.