Developer of Lexington data center did not apply for permit to operate. Now they can’t
DartPoints acquired a former Lexmark property in Lexington, Kentucky, for a data center but did not apply for necessary operating permits before a moratorium was enacted. The Lexington-Fayette Urban County Council approved a moratorium on data center permits until October 31, driven by community opposition and a need to draft new zoning ordinances for data centers. As a result, DartPoints cannot operate the facility without the required permits and approvals.
DartPoints, a data center developer, acquired a former Lexmark property in Lexington, Kentucky, intending to redevelop it into a high-capacity data center for AI customers. Despite statements from DartPoints President and CEO Scott Willis highlighting Lexington's "existing infrastructure, a supportive power environment and the ability to scale," the company did not apply for essential zoning compliance permits or a certificate of occupancy before a crucial moratorium was imposed.
Department of Planning and Preservation Commissioner Keith Horn confirmed that DartPoints cannot operate without these permits and noted that no applications had been filed. The Lexington-Fayette Urban County Council, prompted by public opposition from Lexington residents and statements from Mayor Linda Gorton and Councilmember Tyler Morton, approved a moratorium on data center permits in Fayette County until October 31. This measure, sponsored by District 5 Councilmember Liz Sheehan, is designed to provide the Council and Lexington Planning Commission time to draft and enact a comprehensive zoning ordinance text amendment specifically addressing data centers.
The Planning Commission has scheduled a public hearing for July 30 to discuss the proposed amendment, which aims to integrate data center considerations into the city's existing code, particularly concerning permitted land use and development requirements in industrial districts. This legislative action ensures that while the moratorium is in effect, no new data center permits or approvals will be issued, directly impacting DartPoints' immediate operational plans.