San Diego considers proposal to pause data center development

News Clip0:42CBS 8 San Diego·San Diego, San Diego County, CA·10/27/2026

The San Diego City Council is considering a temporary pause on new data center development after Manchester Financial Group floated plans for a 400-megawatt facility at the Navy-owned NAVWAR site near Old Town. Mayor Todd Gloria warned that data centers could strain the city’s water and electricity supplies and increase utility costs.

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Gov: San Diego City Council, U.S. Navy, City of San Diego, Mayor Todd Gloria

The San Diego City Council is set to consider a temporary pause on new data center development in the city. The proposal follows Manchester Financial Group’s preliminary plans for a 400-megawatt data center at the U.S. Navy-owned NAVWAR site near Old Town, a facility that would reportedly consume as much electricity as 320,000 homes and potentially become California’s largest data center.

Mayor Todd Gloria expressed concern that large data centers could place additional pressure on San Diego’s water and power supplies and raise utility costs. Manchester Financial Group said the project is not finalized, while the City Council prepares to consider the development pause at its upcoming meeting.