Data center project near Armory gets final approval from city just weeks after mayor asks for delay

A contentious plan to construct a $3 billion data center as part of the Armory Innovation District in Midtown St. Louis received final approval from the city's Board of Public Service. The decision, which came via a unanimous vote, granted a conditional use permit allowing the development to proceed, despite recent calls from Mayor Cara Spencer to delay the vote for further due diligence. The mayor, acknowledging public concerns about data centers, stated that the city had "negotiated hard to address the concerns we have any control over" to ensure community benefits and substantial tax revenue for city services and St. Louis Public Schools. The board's approval included additional rules for the permit, aligning with broader data center zoning regulations currently under consideration by the city's Planning and Urban Design Agency. These conditions mandate that developers comply with requirements to minimize water and energy use, such as employing a closed-loop system and air-cooled chillers, and commit to sourcing at least 50% of the data center's energy from renewables within five years. Furthermore, the developers, identified as Contour, TeraWatt, THO Investments, Steadfast City, ARCO, and Lewis Rice, must enter into a community development agreement benefiting the St. Louis Land Clearance for Redevelopment Authority. This agreement includes contributing an estimated $15 million for multimodal enhancements like the Brickline Greenway and a commitment not to seek tax abatements for the data center or Armory buildings. Residents like Kat Logan Smith expressed strong opposition, citing a "serious lack of transparency," inadequate public notice, and concerns about the health impacts of the 120-megawatt facility.