I believe it was said that the servers are in France. And there will be 3-5 day downtime for the Chaos datacenter while they move it over. As the EU datacenter is due to go live mid October a lot of people have been speculating that it will happen a week before 3.1 so that we all start with 3.1 nicely instead of somewhere in between.

As for getting people some cheaper transfers I think it wouldn't be a bad idea - maybe specifically for to/from Chaos worlds so that people that actually want to can do so at a reduced rate.