Rural West Michgian data center neighbor concerns grow alongside announced expansion, active lawsuit

News Clip2:37WWMT-TV·Dowagiac, Cass County, MI·6/27/2026

Neighbors in Dowagiac, Michigan are expressing growing concerns and fear regarding an existing data center owned by Hyperscale Data, Inc., which recently announced plans to more than double its size. Residents have filed a class-action lawsuit, alleging that the facility's constant humming noise negatively impacts property values and quality of life. A news crew observed the audible noise and was approached by a security guard during their investigation.

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Frustration is melding into fear for a Dowagiac resident whose home sits next to a controversial data center, where he says, a subdivision once was. On Friday, Hyperscale Data, Inc. announced plans to expand the facility, more than twice its current size. The data center is already at the center of a class-action lawsuit on behalf of neighbors, who claim it is hurting property values and that the building's constant droning is audible from their homes, hurting their quality of life, as well. A News Channel 3 crew visited a neighborhood right next to the site following Friday's announced expansion, and discovered the humming noise for ourselves. One neighbor, who declined to appear on camera out of fear of “poking a growing bear," said he is living between a rock and a hard place, especially with the prospect of the data center growing even larger. His home used to be surrounded by neighbors, he said, before manufacturing moved in. However, it wasn't until about four years ago when Hyperscale turned the facility into a data center, he said, before he had a problem. As the resident was offering to show our team a map of what the area looked like, a security guard drove up and parked, with eyes appearing to be locked in our direction. After some time, the following conversation took place, between the security guard, the homeowner, and myself: "Are you here for us?" I asked. "Oh yeah," the security guard said. "I'm just making sure he's helping you." "Excuse me?" the homeowner asked. "I'm just making sure you're here, sir," the security guard said. "Oh, you're making sure I'm here," the homeowner responded. "I didn't want anybody trespassing on your property, sir," said the security guard. "Yeah, I'm sure of that," the homeowner said. After several moments, with the security guard still parked, seemingly watching us closely, "Well, he's here...," I said. After no response, I said: "Are you worried about us trespassing on your property?" "I don't know," the security guard replied. "Do you experience that a lot? You guys seem pretty, like, locked up and ready for trespassers." I asked. "No comment, ma'am," the security guard said. After that exchange, the guard still stuck around for a few minutes, but eventually drove back into the data center's gated parking lot. There were many notices of "no trespassing" and "24 hour security" posted along the property line, on poles and barbed wire fencing. The homeowner showed us the map, and shortly later, politely asked us to leave because of concerns related to possible retaliation, he said. "We gotta wrap this up," the homeowner told us. "I'm sorry. I don't want any problems." His concerns echo those of many residents across West Michigan and nationally, as rapid expansion of artificial intelligence has driven unprecedented demand for computing infrastructure. The goal for expanding the Dowagiac data center, according to a company news release, is to shift focus from Bitcoin mining to AI computing. In March, the company announced it had acquired an additional 48.5 acres to expand its Dowagiac campus, doubling its current acreage. In April, Dowagiac Mayor Patrick M. Bakeman put his concerns in writing and read them publicly on social media, calling out the company for not communicating with local officials, but rather making "vague" announcements through press releases. “By doing this, you’ve bred uncertainty and eroded our confidence that you will do the right thing in our community,” Bakeman said. In the same open letter, Bakeman said the city had already taken steps to prepare for the company’s plans and to protect residents, including changes to local rules. “We spent time and money educating ourselves on the issues, consulting with experts in the data center field, enacting new legislation to protect our community, like adding specific enforceable decel levels to your noise level ordinance,” Bakeman said. https://wwmt.com/news/local/dowagiac-data-center-hyperscale-lawsuit-class-action-expansion-artificial-intelligence-ai-neighbor-concerns-legal-sue-fear-concern-cass-county-southwest-michigan-infrastructure-energy _______________ Stay up to date with our social media: WWMT on Facebook: https://www.facebook.com/wwmtnews WWMT on Twitter: https://twitter.com/wwmtnews Subscribe to WWMT on YouTube: https://www.youtube.com/channel/UCAYwomlsmN0DsPeeumEKFXg/?sub_confirmation=1 WWMT Daily News Digest: https://www.youtube.com/playlist?list=PL-oNVYSgKM8IBYJOY5M-p37vKcILekLNz For more information, visit https://www.wwmt.com/ Have a news tip? Send it directly to us: Email us: desk@wwmt.com Call the Newsroom: 800.875.3333 WWMT is a MI based station and a CBS Television affiliate owned and operated by Sinclair Broadcast Group. Sinclair Broadcast Group, Inc. is one of the largest and most diversified television broadcasting companies in the country today. #WWMT #NEWSCHANNEL3 #Kalamazoo #Michigan