“The real estate market for hyperscale and wholesale data centers has been growing rapidly in Poland, but their development is, to some extent, fraught with obstacles. Partnering with the right local developer on such projects saves global giants a great deal of time, hassle, and some costly surprises,” explains Oliwier Goliński, a data center development specialist at 7R.
The warehouse developer is actively expanding its operations in the data center sector, focusing on large-scale BTS and BTO data centers. These facilities will support the cloud giants and international data center operators that have been growing amid the rise of so-called “cloud regions”—locations offering greater access to increasingly competitive cloud-based services.
Such customers have high standards, strict guidelines, and often also have ready-made, standardized projects from previous cross-border investments, which need to be properly and efficiently adapted to the Polish market and its conditions, as the sector is eager to deliver such a facility as quickly as possible—within approximately 18 months.
“Such deadlines are not possible without pre-development, which ensures that permitting and utility installations are carried out on schedule, including the contracting of above-standard connection capacities that are crucial for data centers,” says Oliwier Goliński.
7R has a large real estate portfolio that includes space ready for use as data center facilities, as well as experience in providing facilities that ensure the uninterrupted operation of advanced technological infrastructure.
“Our pre-development prepares facilities for use as both data centers and warehouses. Thanks to this approach, we are able to offer space to a wide variety of clients while minimizing the risks on our end. Without this strategy, the speculative development of facilities suitable for use as data centers would not be possible,” adds Oliwier Goliński.
Local experience is worth its weight in gold
A lack of familiarity with local practices, combined with the complexities of administrative processes and a shortage of reliable contractors—including architectural firms, general contractors, and specialists in local and municipal government cooperation—can result in significant costs for international investors. For example, securing the necessary connection capacity is not only essential but often a difficult, time-consuming process that requires in-depth knowledge of suppliers, their procedures, and their capabilities. Thanks to the developer’s excellent local relationships and experience, the tenant or buyer of the data center does not have to worry about such issues.
“This local expertise is often a decisive factor when it comes to getting approval from utility providers, who sometimes have to rebuild the entire energy infrastructure in the area specifically for a data center,” says Oliwier Goliński. You need to know how to make such a request and how to communicate with suppliers—and without this knowledge, you could risk losing months in the project development process.“Working with an experienced developer is a serious undertaking but also a major cost advantage,” he explains.
A reputation in the industry
The nature of the market means that the timing and smoothness of the development process are strategically important and challenging for the developers themselves. Hyperscale data centers are expensive to build because they are developed using the “just-in-time model,” under a tight schedule that leaves no room for major errors or delays.
In addition, despite its enormous demands and growth, the market is also very niche: it consists of only a dozen end customers. This means that if developers fail to properly execute a project for one of them, they cannot expect to continue working in this sector in the future.
“The stakes are high. But with our experience in developing dozens of industrial projects in recent years, we know what to expect,” emphasizes Oliwier Goliński.
