Charlotte data center’s expansion plan no longer includes saving historic facade
Digital Realty is moving forward with an expansion of its data center in uptown Charlotte, which now includes the complete demolition of a century-old historic facade, despite earlier intentions to preserve it and disappointment from the Historic Landmarks Commission. The project, which involves demolishing the building and constructing a new 12-megawatt data center, is exempt from Charlotte's recently enacted 150-day data center moratorium because it began before the ban's effective date. Residents have expressed opposition to data centers in the region due to concerns about noise, water usage, and power needs.
Digital Realty is proceeding with an expansion of its data center in uptown Charlotte, which will involve the complete demolition of the century-old Court Arcade building at 725 E. Trade St., including its historic facade. This decision marks a change from earlier plans, which indicated an intent to preserve the facade and had involved discussions with the Charlotte-Mecklenburg Historic Landmarks Commissions.
Stewart Gray, director of the Historic Landmarks Commissions, expressed disappointment, stating that the commission had worked with Digital Realty for months to save the facade and believed an agreement was in place. Digital Realty, a Texas-based data center developer with a significant presence in Charlotte, stated that while they care about preserving the city's historic character, saving the facade was not feasible and they are now working on a community benefits strategy to support historic preservation.
The project involves a new four-story, 12-megawatt data center building. While Charlotte recently enacted a 150-day moratorium on new data center development and rezoning, this specific expansion is exempt as permits were filed before the moratorium's June start date. The demolition and subsequent construction will proceed even as data centers face ongoing opposition from Charlotte residents, who cite concerns over noise, water usage, and power demands.
Digital Realty also has another major data center project underway in west Charlotte, a 3-million-square-foot facility with up to 400 megawatts of IT capacity, which received rezoning approval last year. Despite a recent $3.25 billion equity fund aimed at expansion in major markets, the current moratorium will prevent further immediate development in Charlotte, though it is set to expire in November and could be extended.