Construction has begun on a sprawling $10 billion data centre campus in Cedar Rapids, Iowa, US — set to be the largest economic development in the city’s history.
Spanning 612 acres at the Big Cedar Industrial Center, the project is being led by American data centre developer QTS Data Centers — a move that could redefine Cedar Rapids, a city not typically known for its data centre presence.
The development will roll out in several stages, starting with site preparation and construction of the first building, which is expected to be completed by late 2026.
Eventually, the campus may grow to include up to seven buildings, with full build-out likely taking place over the next ten years or so.
RELATED: Oracle Unveils $10bn Plan for Data Centre Expansion
Cedar Rapids city manager Jeff Pomeranz emphasised the construction impact: “While the project will only bring about 15 long-term jobs per phase, it will bring 500 or more construction jobs during its construction timeframe.”
Iowa-based Helix Electric has been named the electrical contractor and plans to hire around 400 workers, including journeymen, commissioning technicians, and safety managers.
QTS co-chief executives Tag Greason and David Robey stated that the company chose Cedar Rapids for its robust infrastructure, skilled workforce, and forward-thinking community.
“This project reflects Iowa’s leadership in embracing the future of technology, and we’re proud to invest in a state that prioritises innovation, sustainability, and community partnership,” they said.
Following the first phase, QTS will make payments totalling $18 million to a community betterment fund to support city projects and nonprofits.
The development deal provides a series of tax rebates and incentives linked to property tax increments generated by the campus, with city officials estimating up to $1 billion in property taxes could be generated, though a substantial portion will be rebated to QTS.
Iowa Governor Kim Reynolds welcomed the investment, stating: “This facility represents a powerful endorsement of Iowa, our communities, and our potential.
“As the largest investment in our state’s history, this data centre campus is a catalyst not only for prosperity in the present, but for a better and brighter future.”
The campus is situated near a Google data centre already under construction, part of the tech giant’s ongoing $7 billion investment across Iowa to expand its cloud and AI infrastructure.
Read Next…
