
Large data center may be heading to old computer chip facility in Colorado Springs
News ClipColorado Springs Gazette·Colorado Springs, El Paso County, CO·3/28/2026
A California firm, Raeden, is planning to build a 450,000-square-foot data center in an old Intel facility in Colorado Springs. The proposed data center will use approximately 50 megawatts of power and an air-cooled closed-loop system for minimal water usage. The city is hosting a neighborhood meeting to discuss the project.
announcementelectricitywaterzoningmoratoriumopposition
Gov: City of Colorado Springs, Denver City Council, Denver Mayor's Office
Raeden, a California-based real estate and technology firm, is proposing to construct a large data center spanning approximately 450,000 square feet in Colorado Springs. The facility would be located in a former Intel microchip manufacturing plant along Garden of the Gods Road. Jason Green, Raeden's founder, stated that the company has been collaborating with the city for over a year on this project. The plan includes demolishing three smaller buildings on the 1565 High Tech Way campus to accommodate generators and chiller units.
The proposed data center is designed to draw around 50 megawatts of power, which Green noted is half the capacity of the building's previous use as a chip plant, making it the highest-powered data center in Colorado. A key feature of the design is its minimal water consumption, achieved through an "air-cooled closed-loop system" that prevents evaporation and eliminates the need for external water for cooling. This approach aims to address growing concerns about data center water usage, particularly in the arid Mountain West region, where cities like Denver are actively exploring moratoriums and new regulations on data center construction due to water and energy demands. The project is expected to create 40-100 permanent jobs in Colorado Springs. The city has scheduled a neighborhood meeting for April 7th at the Hyatt Place hotel to discuss the development.