Massive $5.1B data center proposed in Salem
A California-based company, Verrus, has proposed a $5.1 billion data center campus in southeast Salem, Oregon. The project, named Oakline at Mill Creek, is currently under evaluation by the City of Salem and has generated both support for economic benefits and skepticism from residents concerned about its environmental impact, water, and electricity usage.
Salem leaders have unveiled new details about a proposed $5.1 billion data center that could represent one of the largest private investments in the city's history. California-based technology company Verrus plans to construct "Oakline at Mill Creek," a three-building data center campus and utility substation in the Mill Creek Corporate Center in southeast Salem. The project is currently in the early stages of review and has not yet received city approval.
Salem City Manager Krishna Namburi stated that the city's role is to thoroughly evaluate both potential benefits and impacts to ensure the development aligns with the community's long-term interests. Verrus CEO Nelson Abramson claims the facility would operate differently from traditional data centers, using 90-99% less water through a closed-loop cooling system, generating less noise, and having the ability to reduce power during peak grid times, relying more on large battery systems for backup.
If approved, Verrus projects the facility would support cloud computing, AI, and enterprise services, while creating years of construction work, 75 permanent jobs, and an estimated $9 million in annual tax revenue for Salem. During a Salem City Council meeting, contractors and electricians voiced support for the economic opportunities.
However, many residents remain skeptical of Verrus's promises, expressing concerns about water and electricity usage, and questioning the company's claims. One resident cautioned the city to "be very, very careful" as these companies "lie." The city will verify Verrus's claims as the project undergoes standard planning, engineering, and environmental review processes, with water use figures and other details expected to be made public soon.