Hours after the Fredericksburg City Council voted unanimously to approve a Technology Overlay District (TOD) for the by-right construction of data centers, the Silver Companies and STACK Infrastructure announced a potential $10 billion data center agreement in the city.
The agreement includes eight to 12 data centers in Fredericksburg. A release from city officials noted that the partnership is “a direct outgrowth” of direction from city council to staff last summer to analyze and study the potential commercial by-right development of large undeveloped parcels of land in the Celebrate Virginia South area.
“The city’s work led to the crafting of a 250+/- acre Technology Overlay District on private land that the City of Fredericksburg has envisioned for more than three decades as economic development potential,” the press release stated.
The full buildout of the data center campus is contingent on final entitlements, a negotiated water services agreement with city council and Dominion Energy’s delivery of new transmission power to the site. Many residents in the city are concerned about data centers’ potential use of resources, especially, water and electricity, but city officials are confident those concerns will be mitigated.
“This envisioned buildout advances one of city council’s stated priorities, and does so with robust environmental controls,” the release stated. “Studies have indicated that this land use could produce, at full buildout, upwards of $60 million in local annual revenue.”
After a lengthy public hearing Tuesday night into early Wednesday morning, the city council advanced the TOD unanimously on first read. Second read of the ordinance is set for March 11. More information on the city’s pursuit of data centers can be found at: fredericksburgva.gov/2091/Data-Centers.
