Data Center Company First To Qualify For New Illinois Tax Incentive

STACK INFRASTRUCTURE will be the first company to make use of Illinois’ new sales tax exemption on equipment purchases at its Chicago data center campus.

STACK INFRASTRUCTURE is the first data center company to qualify for a new Illinois tax program targeted specifically for the industry. The program exempts qualifying data centers and their occupants from state and local sales tax on equipment purchases. The company expects to offer exemptions by year-end, enabling clients at its Chicago data center campus to purchase servers, network gear, and other high-value data center equipment at reduced costs. The new incentive supports STACK’s mission of serving as a trusted partner to clients in key markets across the U.S.

data center IllinoisTo qualify for the new program, data center operators and their occupants must invest a total of at least $250 million in their facilities and meet green building standards such as LEED or Energy Star. They must also employ 20 or more full-time employees over five years at wages at least 25 percent higher than the applicable median average county wage. Illinois’ tax incentive is expected to bolster the industry in the Chicago region — the nation’s third largest data center market — and serve as a powerful tool to increase competitiveness, attract new businesses, fuel new construction, and create well-paying jobs across the state.

“We are excited by STACK INFRASTRUCTURE’s commitment to the state in terms of both substantial investment and job creation,” said Erin Guthrie, Acting Director of the Illinois Department of Commerce and Economic Opportunity. “The new data center program promises to propel Illinois to the forefront of the industry in cooperation with companies helping lay the foundation for long-term growth.”

“We are very pleased to partner with the State of Illinois on these incentives and with Elk Grove Village on the continued development of our data center campus. It’s especially exciting to be at the forefront of offering tax-advantaged data center space in this rapidly growing market where we continue to see great interest from clients,” commented Matt VanderZanden, Chief Strategy Officer of STACK. “These benefits address all of the equipment that we expect our clients to include in a new data hall, underscoring our focus on lowering the total cost of ownership.”

STACK’s Chicago data center currently offers 13MW of critical power with 221,000 square feet of space to meet clients’ evolving needs and growth trajectories. Recently, STACK announced expansion plans for this campus, revealing a new adjacent multi-story facility that will offer at least 24MW of additional critical capacity.

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