How so? This storm was a whopper. To the point that buoys were reporting waves 5 times taller than anything on record. Historically, Manhattan has been a fine place for a data center. Moreover, Peer1 survived the 2003 blackout, the only other recent event of this magnitude, without service disruption.
You can armchair quarterback this all you want, but unless you're actually making the decisions, perhaps you should consider the information available.