Judge dismisses lawsuit challenging $2.8B Valara data center in Spartanburg County
A Spartanburg County judge dismissed Concerned Citizens of Spartanburg County’s lawsuit challenging permits for Valara Holdings’ proposed $2.8 billion data center. The ruling allows construction to proceed, although a second application covering additional buildings, a power yard and cooling systems remains pending.
Judge J. Derham Cole Jr. dismissed a lawsuit brought by Concerned Citizens of Spartanburg County against permits for Valara Holdings’ data center on South Pine Street. The group argued Spartanburg County improperly classified the project as a minor development, allowing staff review without a public hearing or Planning Commission vote.
The judge’s decision also ended the group’s effort to pause construction. The initial permit to redevelop the former Kohler plant was approved in August 2025, while a second application for four additional buildings, a power yard and cooling systems remains pending. State regulators separately dismissed a challenge to Valara’s plans for gas turbines, and Spartanburg County has paused new data center applications for one year, though the pause does not apply to Valara’s already-started project.