Boulder City Data Center Project Shifts to Federal Land Amid Resident Opposition
Skylar Capital Management has withdrawn its application to build an 88.5-acre data center on city-owned land in Boulder City, Nevada, opting instead to build on adjacent federally owned land after securing a right-of-way grant from the Bureau of Land Management. This move bypasses local public scrutiny and a Planning Commission recommendation against the project, prompting strong ongoing opposition from residents concerned about water and energy use, with potential legal action being considered.
Houston-based Skylar Capital Management has rerouted its 88.5-acre data center project in Boulder City, Nevada, withdrawing its application for city-owned land and securing approval from the Bureau of Land Management (BLM) to build on an adjacent 80-acre federal site. The original proposal for city land, zoned for solar and battery storage, faced local opposition and a recommendation from the Boulder City Planning Commission against its approval. Mayor Joe Hardy had publicly supported the city-land project, which could have generated $2.3 million annually in revenue.
Residents, led by Brynn deLorimier, have expressed strong opposition to data center development in the small Southern Nevada city, citing concerns over water and energy consumption, pollution, and heat generation. The move to federal land has intensified their resolve, with deLorimier stating, "We will fight it every step of the way." Critics, including Janelle Sorenson, a Boulder City resident and member of the national environmental group Third Act, question the lack of public input on the federal approval, particularly regarding National Environmental Policy Act requirements that have been weakened over time.
While the Southern Nevada region already has an evaporative cooling ban impacting data centers, NV Energy projects a dramatic increase in energy demand from these facilities, potentially reaching 64% of its electricity sales by 2064. Opponents in Boulder City are coordinating with Third Act, which offers legal support, and are considering legal action against the developer or the BLM. Sorenson views Boulder City's situation as a microcosm of broader national trends where small towns face pressure to approve data centers due to budget gaps, often overlooking community concerns and thorough environmental reviews.