Data center CAM is dominated by power and cooling costs. Verify PUE calculations, redundancy tier billing, and allocation methodology to avoid overpaying.
A data center is a specialized facility designed to house computing infrastructure, servers, and networking equipment. These properties require massive power capacity, redundant cooling systems, and uninterruptible power supplies. CAM or operating expense charges in data centers are dominated by electricity, HVAC, and security costs, making them fundamentally different from any other commercial property type.
Typical Lease
Triple Net (NNN) or Powered Shell
Avg CAM/SF
$30.00 to $80.00+
Mgmt Fee %
2% to 4%
Data center CAM is unlike any other property type. Power costs alone can exceed $50/SF depending on density and PUE (Power Usage Effectiveness). Colocation tenants pay for their actual power consumption plus a share of cooling, security, and facility infrastructure. Wholesale tenants may pay on a per-megawatt basis with CAM as a separate pass-through for shared facility costs.
Power Usage Effectiveness (PUE) measures total facility power divided by IT equipment power. An inflated PUE figure means tenants are billed for more cooling overhead than actually consumed. Verify the PUE calculation methodology and compare against independent metering.
Data centers offer different redundancy tiers (N, N+1, 2N). If your lease specifies N+1 redundancy, you should not be paying for 2N infrastructure costs through CAM. Landlords may pass through costs for higher-tier redundancy that exceeds your contracted level.
In colocation environments, allocating shared costs by rack count penalizes low-density tenants. A half-populated rack pays the same as a fully loaded rack, even though power and cooling consumption differ dramatically.
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1.58 PUE
The average data center PUE is estimated at 1.58, meaning 58% overhead on IT power consumption [industry estimate]
Source: Uptime Institute Global Data Center Survey (2024)
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