Elk River residents raise familiar concerns as city weighs data center proposal

Elk River residents raise familiar concerns as city weighs data center proposal

News Cliphometownsource.com·Elk River, Sherburne County, MN·6/17/2026

Elk River residents have raised concerns about a proposed 33-megawatt data center by Elk River Capital LLC, focusing on noise, utility impacts, and water use during a Planning Commission hearing. The developer seeks approval for a zoning amendment and conditional use permit to convert an existing industrial building. Additional public hearings are scheduled for the Planning Commission and City Council.

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Gov: Elk River Planning Commission, Elk River City Council, Elk River Municipal Utility, Monticello City Council

More than 50 residents attended a public hearing before the Elk River Planning Commission to voice opposition to a proposed 33-megawatt data center by developer Elk River Capital LLC. The project aims to convert a vacant 60,000-square-foot industrial building into a 24/7 data center. Residents expressed familiar concerns, mirroring debates in nearby Monticello, regarding potential noise, impacts on electrical infrastructure and water usage, and the precedent the project could set for future data center developments.

Elk River Capital LLC is seeking approval for both a zoning ordinance amendment to allow data centers in the city's Light Industrial district and a conditional use permit. City staff are considering regulations for data centers, including a 50-megawatt power consumption limit, mandatory closed-loop cooling, and noise/size standards. Elk River Municipal Utility General Manager Mark Hanson stated the proposed facility would increase the utility's electrical usage by 50-60% but assured residents the utility has sufficient capacity and would require the developer to cover connection costs, arguing that consistent demand could stabilize finances.

The developer estimates the project would create 40 full-time jobs and plans to conduct a noise study while utilizing a closed-loop cooling system to minimize water. Despite its smaller scale compared to projects near Monticello, the proposal has ignited significant community discussion. The Elk River Planning Commission did not take action during the May 26 hearing, with additional public hearings scheduled before the Planning Commission on June 23 and the City Council on July 6 for final consideration.