Data center fight pits film studio against DeKalb County
Shadowbox Studios is appealing DeKalb County's denial of its 155-acre data center project, which opponents cite for water use, pollution, and electricity strain, and attempts to bypass a countywide moratorium. The company has also filed a lawsuit against the county, claiming a "vested right" to build. DeKalb's Zoning Board of Appeals is set to hear the case on September 9.
Shadowbox Studios is currently appealing DeKalb County's denial of its proposed 155-acre data center project in south DeKalb. The film studio argues the county had previously provided written assurances that a data center was permitted on the property, thereby establishing a "vested right" to proceed with development. The company has also initiated a lawsuit against the county in DeKalb Superior Court, challenging the validity of an existing countywide moratorium on new data center applications. The DeKalb County Zoning Board of Appeals is scheduled to hear Shadowbox's appeal on September 9.
From the developer's perspective, CEO Peter Rumbold and Chief Development Officer Jeff Weber assert that the data center would represent a $42 billion investment over 20 years, generating an estimated $133 million annually in local tax revenue for schools and county services, and supporting over 9,000 construction jobs and 275 permanent positions. Consultant Jason Leone from Strategic Mission Critical detailed a closed-loop water cooling system, claiming the data center would use only 2,800 gallons of water per day, comparable to 24 apartments. Heidi Rous from Kimley-Horn and Associates addressed environmental concerns, stating that diesel backup generators are highly regulated and that noise would be mitigated with quieter equipment and berms.
However, the project faces significant community opposition. Residents, including Jackie Malcolm, have actively protested and expressed concerns over the data center's potential strain on electricity resources, burden on the county's water system, and increased pollution in surrounding neighborhoods. They also accuse Shadowbox of attempting to circumvent DeKalb County's moratorium on data center applications, which was first approved in July 2025 and recently extended through March 2027. Local political figures, such as Bentley Hudgins, have also voiced opposition, citing broader environmental and water usage concerns.
Adding to the complexity, the proposed data center project represents a pivot from Shadowbox's original plan for a film studio expansion, which had secured a $68 million incentive package from Decide DeKalb, the county's economic development arm. The site also has a contentious history involving a stalled land swap deal with the studio's previous owner, Blackhall Studios.