Danville Considering Data Center Rules
News Clip2:51WDBJ7·Danville, Danville City County, VA·5/4/2026
Danville, Virginia is considering implementing new rules for data center development. The proposed changes would restrict where data centers can be built, requiring specific setbacks and land acreage, and would also raise taxes on them. This comes as the city has received mild interest from data center companies, though no projects are currently planned.
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Gov: Danville City Council, Danville Planning Department, City Manager Ken Larkin
The city of Danville, Virginia, is considering implementing new rules for data center development. While there are no current data center projects planned, the city's planning department is proposing changes to its development code due to mild interest from data center companies.
The proposed regulations aim to restrict the placement of data centers, requiring them to be at least 500 feet from any residential property and to have a minimum of 150 acres of land with a 20-foot vegetative buffer. City Manager Ken Larkin emphasized the importance of well-planned communities, ensuring commercial and industrial uses, like data centers, are located appropriately away from residential areas. The new rules would also include raising taxes on data centers.
One of the primary concerns with data centers, their significant water usage for cooling, was addressed by Larkin, who stated that Danville is uniquely suited to handle this issue due to its existing infrastructure.