
New owners of MetroSouth Hospital to propose data center, Blue Island leaders cautious
News ClipChicago Tribune·Blue Island, Cook County, IL·4/24/2026
Builders Capital proposes to demolish the former MetroSouth Medical Center in Blue Island, Illinois, to build a data center. The project requires a special-use permit, and city officials are proceeding cautiously due to significant public and aldermanic concerns. Key concerns include environmental impacts, noise, water, and energy consumption.
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Gov: Blue Island City Administrator, Blue Island Planning and Zoning Board, Blue Island City Council, 4th Ward Ald. Bill Fahrenwald, 7th Ward Ald. Joshua Roll, Mayor Fred Bilotto
Builders Capital, the current owner of the shuttered MetroSouth Medical Center in Blue Island, Illinois, has indicated its intention to demolish the former hospital building and construct a data center on the property. According to City Administrator Thomas Wogan, a formal proposal has not yet been submitted, but if it is, it will undergo a transparent evaluation process involving public hearings, the Planning and Zoning Board, and the City Council.
The prospect of a data center has been met with considerable public and official apprehension. Fourth Ward Alderman Bill Fahrenwald and Seventh Ward Alderman Joshua Roll have voiced concerns about the environmental impact, including high water and energy demands, potential noise, pollution, and the dumping of heat. Residents also fear that a data center would not replace the jobs, revenue, and community engagement that the hospital previously provided.
This new proposal follows the failure of the previous developer, Lockwood Development Partners, to convert the site into a senior living facility. Lockwood lost control of the property to its financial backer, Builders Capital, after defaulting on $44 million in loans. Mayor Fred Bilotto emphasized the city's commitment to a deliberate process, acknowledging and taking seriously the concerns raised by the community regarding the city's future.