City of Festus releases data center framework

The City of Festus, Missouri, has released new details regarding a proposed multi-billion dollar data center project, with developer CRG, which previously sought to build a hyperscale data center in St. Charles, now deep in the process with Festus. The public was given an opportunity to share thoughts on the plan for the $6 billion data center on 360 acres. City officials, who hired a negotiator, have agreed on a framework for a development agreement. This framework estimates the project could generate $1.3 billion in property taxes, utility taxes, and direct payments to the city. If approved, the developer would pay the city $45 million over a decade, including $5 million dedicated to a new firehouse. Key developer requirements under the agreement include entering into a contract with Amron to cover all energy usage and associated infrastructure, as well as funding all necessary water and sewer upgrades. Additionally, the developer would be mandated to purchase 12 homes located within 1,000 feet of an active data center building, 11 of which are on Glen Key Court. The Festus City Council is scheduled to vote on this development framework as soon as next week. An approval would effectively grant the developers permission to commence construction.