
Nearly $1 billion in data center construction slated south of Dallas
News ClipDallas News·Lancaster, Dallas County, TX·4/9/2026
QTS and DataBank are investing nearly $1 billion in new data center construction and expansion south of Dallas, Texas. QTS plans a new $290 million facility in southern Dallas County, while DataBank is undertaking a $616 million interior build-out for two data centers in Red Oak, Ellis County. These projects highlight the Dallas-Fort Worth area's continued growth as a major data center market.
announcementgovernmentelectricity
QTS
Gov: Texas Department of Licensing and Regulation
Two prominent data center firms, QTS and DataBank, are collectively investing nearly $1 billion in significant new construction and expansion projects situated south of Dallas, Texas, according to recent state filings. Kansas-based QTS Realty Trust plans to develop a new two-story data center and office facility at 1341 Sunrise Road in southern Dallas County. This project, estimated at $290 million, is slated to begin in September and conclude by December 2027, further expanding QTS's regional footprint which includes earlier plans for two additional data centers near Wilmer and Lancaster.
Meanwhile, Dallas-based DataBank is embarking on an extensive interior build-out for its DFW 10 and DFW 11 data centers located on Stainback Road in Red Oak, Ellis County. This work, registered with the Texas Department of Licensing and Regulation (TDLR), includes filling both two-story buildings with data rack containment, tenant storage, and office space. DataBank anticipates spending $301 million on the DFW 10 build-out, expected to finish by January 2027, and an additional $315 million for DFW 11, with completion projected for March 2027. These developments are part of DataBank's previously announced 480-megawatt campus in Ellis County. The region encompassing Red Oak, Lancaster, and southern Dallas County is recognized as a rapidly expanding submarket within the Dallas-Fort Worth area, which remains one of the nation's leading data center markets.