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Cologix's New Downtown, Enterprise-Grade Data Center Qualifies for Minnesota Sales Tax Incentive Program
[January 27, 2015]

Cologix's New Downtown, Enterprise-Grade Data Center Qualifies for Minnesota Sales Tax Incentive Program


Enterprise colocation customers now have access to direct benefits under Minnesota's sales tax incentive program. Cologix, Minneapolis's leading network neutral data center provider, announced today that its new 28K SQF MIN3 data center has qualified for the Minnesota Department of Employment and Economic Development's (DEED) sales tax incentive program, which offers tax rebates for certain new data centers and their end customers. Cologix's qualification for the program is unique for enterprise customers because it is the only certified data center that combines a focus on multi-tenant retail colocation with a downtown Minneapolis location.

"Minnesota enterprises are increasingly responding to the benefits of the colocation model to support their IT needs, especially where data centers are close to home, highly connected and highly redundant. We designed our new data center with these customers in mind," explains Mike Hemphill, general manager, Cologix Minneapolis. "These customers are regularly spending $50-$100K per cabinet or to refresh legacy equipment with new servers and switches. Now, with access to the tax program, these customers can reap the benefits of colocation and save up to the equivalent of 25-30% o their contracted service fees."



Cologix has been the largest tenant at Minneapolis's carrier hotel, operating ~25K SQF of data center space and the Meet-Me-Room in the 511 Building (511 11th Avenue South), connecting enterprises to over 70+ network service providers. In 2014, Cologix announced plans for a new 28K SQF data center in the 511 Building which is set to open in Q1, 2015. "Cologix is pleased to partner with the Minnesota DEED as we bring our new data center to market," states Grant van Rooyen, chief executive officer, Cologix. "Cologix has been Minnesota's leading neutral colocation provider for years. We are gratified that our commitment to investing in the market has been supported by DEED's innovative program."

"The Data Center Sales Tax Program was meant to assist companies like Cologix expand in Minnesota, and to add high-quality, high-wage IT jobs to the state's workforce," said DEED Commissioner Katie Clark Sieben. "Nationally, this program has helped rank Minnesota as a top data-center market, and we are seeing an increase in demand in the last year."


Cologix's data centers in Minneapolis are already the epicenter of network traffic moving to the "New Edge of the Internet." New carriers continue to deploy in Minneapolis and the Midwest Internet Cooperative Exchange (MICE) has grown traffic more than 15 fold in the past year, en route to becoming one of the top 3 independent Internet Exchanges in North America. Cologix's new data center will support this trend as well as the increasing number of enterprise customers in the region interested in outsourcing their data center needs.

About Cologix Inc.

Cologix Inc. is a network-neutral interconnection and colocation data center company headquartered in Denver. Cologix provides scalable interconnection services and secure, reliable colocation services. Cologix operates densely connected, strategically located facilities in Columbus, Dallas, Jacksonville, Lakeland, Minneapolis, Montreal, Toronto and Vancouver. With more than 350 network choices and 20 prime interconnection locations, Cologix currently serves over 850 carrier, managed services, cloud, media, content, financial services and enterprise customers. The company's experienced local service teams are committed to providing its customers the highest standard of local customer support. To arrange a tour of the center closest to you, contact us at [email protected]. Follow Cologix on LinkedIn and Twitter.


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