Yes, everything is bigger in Texas. Including data centers. But wherever you live, the headlines about data centers are impossible to miss, capturing communities’ attention with competing clickbait hooks.
You may first see a headline reporting that an elected official held a press conference to announce that a major US company is coming to (your) town to build a data center in your community. The emphasis: The proposed center will create additional jobs and tax revenue, revitalizing the local economy.
The second headline you may see is for a different story reporting that a different elected official or a community organization is protesting data center construction because, they say, they are not welcome in the community, due to their poor reputation as a utility hog and environmental polluter.
It’s no secret that data center development has become political. What does it mean for property owners? Consider looking past the headlines and the following Q&A before taking a position:
- Are data centers inevitable?
Yes. Data centers aren’t going away. As long as we continue to consume digitally, via our smartphones, laptops, and other connected devices, data centers will be necessary to support our consumption. - Are data centers inevitable?
Yes. Data centers aren’t going away. As long as we continue to consume digitally, via our smartphones, laptops, and other connected devices, data centers will be necessary to support our consumption. - Are data centers bad for the environment?
Data centers can be, but aren’t always, utility hogs. Data centers run 24/7 and require large amounts of electricity, which can strain local utility grids. They also run hot and often rely on water cooling systems to cool their servers. The issue is that not all communities have the water capacity to manage demand. Alternatives, like air-cooling and the use of non-potable water, exist and could alleviate this issue. Data center emissions may also negatively impact air quality. Centers that may use natural gas as an alternative to electricity can release substantial carbon emissions, a known pollutant.
What should landowners considering their data center options do?
Ask questions. Ask about the timeframes, construction timelines, utility usage, tax incentives, permanent job additions, and environmental impact – all of which affect you. Informing yourself about the potential impacts will help you be a better neighbor and protect your land value.
If you have questions about the impact of data centers on your property and community, please connect with Jill directly at jmurphy@cm.law.
Please note: The information provided in this Q&A is for general informational purposes only and should not be construed as legal advice on any subject matter. No recipient of content from this segment, client or otherwise, should act or refrain from acting based on any content included in the segment without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from an attorney licensed in the recipient’s state. The content of this segment contains general information and may not reflect current legal developments or address your situation. We disclaim all liability for actions you take or fail to take based on any content in this segment.
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