
Hyperscale data center gains rezoning vote after hours of opposing testimony
News ClipSiouxFalls.Business·Sioux Falls, Minnehaha County, SD·1/7/2026
The Sioux Falls City Council voted to rezone property and approve a preliminary subdivision plan for a proposed hyperscale data center project about 1 mile south of the Veterans Parkway exit for Interstate 90, near the intersection with Rice Street. The property is owned by Gemini Data Center SD LLC, which is connected to a California-based family office. The vote followed several hours of public input, with most of the testimony opposing the project.
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Gov: Sioux Falls City Council
The Sioux Falls City Council voted 7-0 to approve the rezoning and preliminary subdivision plan for a hyperscale data center project proposed by Gemini Data Center SD LLC. The California-based developer acquired 164 acres near Xcel Energy's facilities and plans to build a facility that could support 50 to 150 full-time jobs. While many residents voiced concerns about climate impacts and energy use, city officials cited the economic benefits, including millions in property and utility taxes. The project faced significant community opposition but was ultimately approved with several stipulations, including water use restrictions and landscape requirements.