A cooling apparatus and method are provided for cooling one or more electronic components of an electronic subsystem of an electronics rack. The cooling apparatus includes a heat sink, which is configured to couple to an electronic component, and which includes a coolant-carrying channel for coolant to flow therethrough. The coolant provides two-phase cooling to the electronic component, and is discharged from the heat sink as coolant exhaust which comprises coolant vapor to be condensed. The cooling apparatus further includes a node-level condensation module, associated with the electronic subsystem, and coupled in fluid communication with the heat sink to receive the coolant exhaust from the heat sink. The condensation module is liquid-cooled, and facilitates condensing of the coolant vapor in the coolant exhaust. A controller automatically controls the liquid-cooling of the heat sink and/or the liquid-cooling of the node-level condensation module.