Dive brief:
- Meta shared plans Thursday to build a new one $800 million data center campus in Jeffersonville, Indiana, according to a statement from the Indiana Economic Development Corp.
- The project is subject to a data center sales tax exemption, according to the IEDC. Under the terms of the deal, if Meta invests at least $800 million in the data center, the company will pay no sales tax for 35 years, with further incentives that could extend its sales tax exemption.
- New York City-based Turner Construction will break ground on the 700,000-square-foot facility this month, according to the contractor. Meta expects the campus to be operational by 2026, according to the IEDC statement.
Diving knowledge:
The nearly $1 billion construction follows a string of other massive data center projects (at least some of which have also been sweetened with tax breaks) in the U.S. for Menlo-based Meta Platforms, California, formerly known as Facebook.
Its $800 million data center project in Kansas City, Missouri, for example, qualified to receive up to nearly $1.8 billion in sales and use tax breaks over the next 15 years, according to the Missouri Department of Economic Development.
The tech conglomerate also plans to build one Billion dollar data center campus in Mesa, Arizona, as well as another $800 million data center site in Temple, Texas.
Exciting news for #Indiana! @Meta is slated to invest $800 million in our state, bringing a state-of-the-art data center to Jeffersonville. This company will create jobs for 100 people #Hoosiersmarking an important step towards a future at the forefront of technology. #NextLevelIndiana pic.twitter.com/K7Yha3ilT9
— Governor Eric Holcomb (@GovHolcomb) January 25, 2024
It also marks the latest win for Indiana, which has recently landed several high-profile projects due to the state’s infrastructure resources, labor availability and growing technology and semiconductor sectors.
Billion dollar advanced manufacturing projects in the state include a $3.5 billion Samsung SDI plant at New Carlisle, a $3.2 billion Stellantis EV plant in Kokomo and a $1.6 billion Eli Lilly facility in Lebanon. In total, Indiana welcomed more than $28.7 billion in planned capital investments by 2023 from companies committing to locate or grow in the Hoosier State, according to the IEDC.
“River Ridge has been saving this 619-acre site for a mega-company, and Meta’s investment and commitment to our community is proof that this strategy is paying off,” said Jeffersonville Mayor Mike Moore, referring to the River Ridge Mall where the data is located. the center will be located, at the release. “The economic activity around this new data center will support all sectors of our economy.”
The tech giant plans for the campus to achieve LEED Gold certification once it’s operational, according to the release, and be supported by 100% renewable energy.
In addition to the initial 35-year tax break, for every additional $800 million Meta invests, it can extend its tax break for an additional five years, up to a total of 50 years, according to the release.
