Developer withdraws Monterey Park data center project after community pushback

Developer withdraws Monterey Park data center project after community pushback

News ClipSan Gabriel Valley Tribune·Monterey Park, Los Angeles County, CA·4/2/2026

HMC StratCap has withdrawn its application for a data center project in Monterey Park, California, following extensive community opposition and environmental concerns over power consumption. The city is preparing for a June 2 ballot measure that could permanently ban data centers.

oppositionenvironmentalelectricitymoratoriumgovernmentzoning
Gov: Monterey Park City Council, city officials
Developer HMC StratCap has officially withdrawn its application for a data center project at 1977 Saturn St. in Monterey Park, California, after facing months of widespread community backlash. Monterey Park City Council member Jose Sanchez, who had previously voiced concerns about the project, expressed satisfaction with HMC StratCap's decision to collaborate with the city on exploring alternative land uses for the property. The withdrawal occurred as opposition to data centers mounted, fueled by critics' concerns over the substantial power consumption required by these facilities, especially in the context of the artificial intelligence boom, and potential environmental impacts. Opponents, including Steven J. Kung, co-founder of No Data Center Monterey Park, celebrated the decision as a significant victory against data center development in the San Gabriel Valley, marking one of the first such accomplishments in the region. Since December, advocacy efforts have expanded to neighboring cities like City of Industry and El Monte, with El Monte recently enacting its own 45-day data center moratorium. Despite the withdrawal, activists like SGV Progressive Action Organizer Andrew Yip stress that the fight is not over. The Monterey Park City Council has approved a special election for June 2, where a measure to permanently ban data centers in the city will be on the ballot, which opponents are urging residents to pass.