Why Retrofit Could Dominate Data Centre Builds This Decade

Data centre retrofit will become the dominant delivery model across Europe this decade, according to a recent white paper from Dublin-based DCT Project Management. 

As grid constraints, regulatory pressures and ESG commitments rise, DCT argues that retrofitting existing facilities offers a more strategic, sustainable and commercially viable alternative to new builds.

The company’s research indicates that retrofits can reduce CapEx by 20-40%, accelerate time-to-revenue by 6-12 months and significantly cut embodied carbon – all while leveraging existing infrastructure and grid access.

With this in mind, the paper introduces DCT’s Retrofit Certainty Model, a practical field-tested methodology designed to de-risk retrofit projects at every stage, including a tailored RIBA Plan of Work for retrofit.

“Retrofitting isn’t just an option anymore – it’s rapidly becoming the only viable path for scaling digital infrastructure at speed and with engineering certainty,” says Adrian Shanahan, Head of Project Management at DCT and principal author of the paper.

The report adds: “The retrofit case is no longer theoretical – it's financial, strategic, and operational. And it's already winning.”

Retrofit Certainty Model could address data centre environment risks

The paper highlights particular pressures in Dublin, where the Republic of Ireland’s Commission for Regulation of Utilities directive CRU/21/124 has effectively frozen new grid connections. 

Similar constraints are also emerging in London, Amsterdam and Frankfurt, where developers are having to confront rising power and energy pressures.

Notably, the report suggests that traditional project management frameworks designed for new builds are failing to address the specific challenges of retrofit delivery, according to DCT. In response, the company has developed what it calls the Retrofit Certainty Model, built around four core principles: front-loaded validation, digital-led delivery, live environment expertise and stakeholder fluency.

“Retrofit introduces complexity. Poor visibility of existing conditions, constrained live environments, and legacy risk demands more than technical competence. They require certainty,” the report states.

“Contractors with experience in data centre projects can offer real value from the very start of a retrofit. When brought in early as delivery partner or as part of a design and build team, we help shape the project scope to reduce complexity, shorten timelines and manage risk.”

AI workloads are driving high-density infrastructure requirements

The AI and machine learning surge is transforming infrastructure requirements for retrofitted facilities. As a result, DCT’s reference designs now anticipate rack densities of 30-70 kW, with projections extending to 100 kW per rack by 2030.

Traditional air cooling systems are inevitably proving insufficient for these loads. The whitepaper therefore points to a strategy that integrates dynamic thermal zoning and preparation for liquid cooling technologies including Coolant Distribution Units (CDUs) and direct-to-chip systems.

Significantly, the report notes that more than 60% of existing data centres across Ireland, the UK and mainland Europe were built before 2015 under different expectations for energy intensity and cooling topology. The whitepaper suggests that many of these facilities cannot support modern resilience requirements without fundamental reengineering.

Its methodology addresses the transition from legacy infrastructure designed to 5-8kW rack loads to AI-ready environments, advocating for the building of adaptive infrastructure frameworks that can scale intelligently over time.

“While AI adoption is driving much of today's conversation around data centre density, future compute demands will continue to evolve in unpredictable ways,” the paper notes.

Access to the grid is essential for new data centre developments

Retrofitting ultimately avoids the core barriers that make new builds untenable by leveraging existing grid connections, often bypassing complex planning pathways and reducing embodied carbon. 

It also enables faster time to value and alignment with emerging ESG benchmarks, according to DCT.

The paper also notes that older sites often have “grandfathered” grid access that would be hard to get today, particularly in grid-constrained areas like Dublin – and wants to help clients make the most of this advantage.

“In many retrofit projects, an existing grid connection is a major hidden asset,” it reads.

DCT also highlight that the convergence of grid constraints, planning delays and rising construction costs has fundamentally altered the risk-return profile of new development. It states that institutional capital is moving away from speculative greenfield projects and instead towards strategies offering faster returns and lower regulatory exposure.

Additionally, it has found that modular and prefabrication methods of construction are shortening live site programmes by 15-20%, while reducing on-site labour risks through factory-tested solutions.

The report adds: “It is no longer about how much you can build. It is about how intelligently you can upgrade. In a capital environment where certainty outperforms scale, retrofit is the preferred option for funders who want growth without exposure.”

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