Major Data Center Project Approved in Minnesota’s Hermantown Following Council Vote

Unanimous Council Approval for Major Development

The Hermantown City Council has unanimously approved rezoning for a significant data center campus, according to reports from local media. Sources indicate the 4-0 vote this week clears the way for what could become one of Minnesota’s largest technology infrastructure projects outside the Twin Cities metro area.

Project Scope and Location Details

The development, reportedly known as Project Loon, would consist of four 300,000-square-foot buildings on a 403-acre parcel near the Arrowhead Substation. The report states the property is bounded by Morris Thomas Road to the north, Midway Road to the east, and Solway Road to the west. Real estate firm Mortenson submitted the rezoning request for the development, which would total approximately 1.2 million square feet of data center space upon completion.

Fortune 50 Company Involvement

While officials have confirmed a US-based Fortune 50 company is involved through the Harmony Group LLC affiliate, they have not publicly identified the specific corporation. According to the analysis, this level of investment typically indicates a major technology or cloud services provider, though the company’s identity remains undisclosed in public documents.

Construction Timeline and Economic Impact

The $650 million project could break ground in 2027, with construction expected to span eight to ten years. Analysts suggest this extended timeline indicates a phased approach to development, allowing for potential adjustments based on market demand and technological evolution. The substantial investment represents one of the largest infrastructure projects in recent northeastern Minnesota history.

Community Engagement and Response

Public interest in the project has been significant, with reports indicating more than 300 people attended the six-hour council meeting where the rezoning was approved. The substantial turnout suggests both community support and concerns about the development‘s impact on the region, though specific objections or endorsements weren’t detailed in initial coverage.

Regional Context and Significance

Hermantown, a suburb of the port city Duluth, currently hosts minimal data center infrastructure compared to Minnesota’s primary technology hub around Minneapolis. This development would mark a substantial expansion of the state’s data center geography. While Meta has been developing in Minnesota and Amazon Web Services previously planned a facility before withdrawing earlier this year, this project represents a fresh commitment to the state’s technology infrastructure.

Strategic Advantages of the Location

The site’s proximity to the Arrowhead Substation provides significant power infrastructure advantages, according to industry analysts. Additionally, the Duluth area’s cooler climate offers natural cooling benefits for data center operations, potentially reducing energy consumption compared to facilities in warmer regions.

This coverage is based on reports from local media sources and public documents. Further details are expected to emerge as the project moves through additional approval processes and toward construction.

References

• https://www.fox21online.com/…/
• https://hermantownmn.com/project/#1760042903195-d604f6bd-60cc
• https://www.duluthnewstribune.com/news/local/charged-debate-over-hermantown-d…
• http://en.wikipedia.org/wiki/Data_center
• http://en.wikipedia.org/wiki/Hermantown,_Minnesota
• http://en.wikipedia.org/wiki/Fortune_500
• http://en.wikipedia.org/wiki/Harmony,_Minnesota
• http://en.wikipedia.org/wiki/Zoning

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