ADEM approved a permit for a massive hyperscale data center in Brookwood

ADEM approved a permit for a massive hyperscale data center in Brookwood

News ClipWBRC 6 News·Brookwood, Tuscaloosa County, AL·8/5/2026

Alabama's Department of Environmental Management (ADEM) has approved a permit for APLD BHM-01 LLC, a company connected to Applied Digital, to build a 2-million-square-foot hyperscale data center in Brookwood, Alabama. The permit addresses stormwater discharge during construction, with work potentially beginning soon and completing by late 2028. However, Applied Digital states that a final decision to proceed with the project at this location has not yet been made, and local city council and planning commission votes are still pending.

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Applied Digital
Gov: Alabama's Department of Environmental Management, Alabama Secretary of State’s Office, Brookwood Mayor Joe Barger, Brookwood City Council, Brookwood Planning Commission

Alabama's Department of Environmental Management (ADEM) has granted a permit for APLD BHM-01 LLC to construct a massive 2-million-square-foot hyperscale data center in Brookwood, Alabama. Documents from the Alabama Secretary of State’s Office link APLD BHM-01 LLC to Applied Digital Corporation (Applied Digital), a Texas-based company specializing in AI infrastructure. Jason Zhang, a co-founder of Applied Digital, is listed as the responsible party for APLD BMH-01 LLC, and both entities share a Dallas address.

The permit, approved on July 20, allows for construction to begin as early as July 22, with completion slated for December 31, 2028. Stormwater from the construction site will be discharged into Hurricane Creek and its tributaries. Despite the permit approval, Nick Phillips, Applied Digital’s executive vice president of external affairs, stated that the company is still evaluating potential sites and no final decision has been made regarding this specific Brookwood project.

While the project would occupy over 130 acres of a nearly 1,300-acre parcel, the permit does not detail the data center's cooling system or water supply. Brookwood Mayor Joe Barger and ADEM have been contacted for further comment. The Brookwood City Council has yet to vote on any data center plans, and the city’s planning commission is scheduled to meet on August 11, indicating local approvals are still pending.