What to expect in GPU colocation terms.

Deposits

Operators building or fitting out AI-ready space often ask for a deposit at signing, sized as a share of the contract value or a number of months of fees. The bigger and more custom the build, the larger it tends to be. Ask whether it's refundable if the space delivers late, and whether it converts to prepaid fees.

Minimum term and reservations

High-density deployments are typically signed on multi-year terms, and some operators ask for long reservations to hold power for future phases. Shorter terms are sometimes available at a higher rate or in modular and converted sites. Know your hardware's useful life before you commit past it.

Power: pass-through or all-in

Many AI colocation contracts bill power as a pass-through at the utility rate plus any markup, separate from a fixed fee for space and capacity. Others quote an all-in rate per kW. Compare them on the same basis: your expected utilization, the PUE the operator commits to, and who carries the risk of utility rate changes.

Ready-for-service date and remedies

The ready-for-service (RFS) date is when the space, power and cooling are live for your load. For GPUs that are already ordered, a late RFS date costs more than a higher rate. Ask what happens if it slips: rent credits, the right to terminate, and whether your deposit is protected.

One-time charges

Non-recurring charges (NRC) can cover power installation, containment, liquid-cooling connections, cabling and cross-connects. Get them itemized early. They're easy to miss when comparing monthly rates.

Ramps and expansion rights

If you'll grow in phases, negotiate the ramp schedule and a right of first refusal or reserved expansion capacity in the original contract. Adding it later usually means a new search.

Questions to ask before you sign

• Is this colocation for hardware we own, or a compute rental?
• Is the RFS date confirmed by the utility, and what happens if it's late?
• How much is the deposit, and when is it refundable?
• Is power a pass-through or all-in, and what PUE is committed?
• Who owns and maintains the liquid-cooling loop and CDUs?
• What one-time charges apply, itemized?
• What expansion capacity can we reserve now?

We put these side by side for every option we bring you. Send us your requirement.

This guide is general information, not legal advice. Related: Colocation for neoclouds, GB300 rack requirements.