The rent on a colocation quote is the number everyone negotiates and the one that moves the 36-month total least. The clauses below decide most of what you actually pay.
Escalators
An escalator raises recurring charges every year. On a $2,500-a-month contract:
| Escalator | 36-month total | Added by the escalator |
|---|---|---|
| 0% | $90,000 | $0 |
| 3% | $92,727 | $2,727 |
| 5% | $94,575 | $4,575 |
| 7% | $96,447 | $6,447 |
Ask for a lower rate, a cap, or for the escalator to apply to space only, not power or cross-connects.
Power
On metered power, get the billed PUE and the true-up method in writing. On breakered power, size the circuits to what you'll actually draw. On all-in, ask what happens when the utility rate moves.
Renewal
Renewal is where the largest increases land: Digital Realty reported renewal rates up 25.4% on a cash basis in Q2 2026 (Form 8-K). Negotiate the renewal now: a cap on the increase, a notice period long enough to bid it out, and no automatic multi-year rollover.
SLA credits
Read the credit cap, not just the uptime number. A 100% uptime commitment with credits capped at a few percent of one month's fee protects you less than it sounds. Ask how credits are claimed, and whether power and cooling failures are covered separately.
Exit and growth
- Right of first refusal on adjacent space
- A price for additional kW fixed now
- Termination terms if the facility can't deliver committed density
- Decommissioning and equipment removal timelines
Questions
Commonly 2% to 5% a year on recurring charges. Check whether it applies to power and cross-connects as well as space.
Yes, best with a real competing bid in hand before your notice deadline. Renewal counter-quotes.