Data center design and construction are booming. According to Business Wire, the data center construction market was valued at $8.4 billion in 2020 and is projected to reach $13.9 billion by 2026.
Although data centers share many characteristics with other construction projects, they differ in several critical ways. These facilities depend on complex systems that must operate continuously, which places greater pressure on planning, coordination, and contract structure from the outset.
As a result, design and construction agreements play a central role in defining responsibilities, managing cost and risk, and aligning decisions across the project lifecycle.
Site Selection and Planning in Data Center Construction Projects
Site selection is one of the earliest and most critical decisions in a data center project. Unlike many commercial buildings, these facilities depend heavily on:
- Electrical infrastructure and grid capacity
- Cooling and environmental conditions
- Network connectivity
- Local zoning and regulatory requirements
Architect agreements (such as B101™) often address these early services, including site evaluation and feasibility analysis as supplemental services. In some cases, teams may also use separate agreements to define early planning or feasibility work before full design begins.
Cost Estimating in Data Center Design Phases
Cost estimating plays a central role in aligning design decisions with project budgets. Data centers include significant investments in electrical systems, cooling infrastructure, and redundancy features that may all evolve during design.
Architect agreements typically define responsibility for cost estimating, while construction managers or cost consultants may be engaged to provide more detailed analysis during preconstruction. Clear agreements ensure:
- Cost estimates are updated at defined stages
- Responsibilities are clearly assigned
- Budget expectations remain aligned with design decisions
Commissioning and Performance in Data Center Construction
Another feature that distinguishes many data center projects is the importance of commissioning. Commissioning is critical to ensuring system performance and reliability. Unlike traditional projects, data centers require extensive testing of mechanical, electrical, and operational systems before becoming fully operational.
Agreements should define:
- Who leads commissioning activities
- When commissioning occurs
- How testing and verification are documented
Consultant agreements (such as C401™) are often used to formalize roles for commissioning agents and other specialists.
Designing for Expansion and Phased Data Center Construction
Many data center projects are designed for future expansion. Phased construction allows owners to adapt to evolving technology needs and increasing data demand. It also introduces coordination challenges.
Contracts help define:
- The architect’s role in phased design.
- Coordination between project phases.
- How future work interacts with ongoing operations.
Clear agreements ensure that decisions made today support long-term performance and scalability.
Key AIA Contract Documents for Data Center Projects
The following example illustrates how AIA Contract Documents are commonly used across different data center project structures.
Different phases of design and construction rely on specific agreements to define responsibilities and coordination.
Agreement | Purpose | When It’s Used |
Owner–architect agreement | Defines design scope, including site evaluation and cost estimating | |
Architect–consultant agreement | Coordinates specialty consultants and commissioning roles | |
Owner–contractor agreement + general conditions | Used in traditional construction delivery | |
Owner–CM at Risk agreement | Supports early contractor involvement during design | |
Owner–design-builder agreement | Used in integrated design-build delivery |
These agreements provide a structured framework for managing coordination, scope, and performance across complex project teams.
Supporting Collaboration Through Clear Agreements
Data center projects bring together multiple disciplines that must operate in alignment. Clear contracts establish:
- Roles and responsibilities
- Communication structures
- Decision-making processes
Without this structure, coordination breaks down and risks increase—especially as systems become more complex. For more on how delivery methods and consultant roles influence these relationships, see our article on data center consultants and delivery methods.