New York Investor Advances $14.3M Plan for AI Data Center at Former Pennsylvania Coal Plant
December 3, 2025
A significant shift in the industrial landscape of Western Pennsylvania is underway as a New York-based investment firm moves to repurpose a legacy energy asset for the digital age. The push to convert decommissioned coal plants into data centers is gaining momentum nationwide, driven by the immense power demands of artificial intelligence and the need for scalable, strategically located infrastructure.
Allegheny DC Property Co., a holding company owned by a New York investment firm, purchased the site of the former Springdale coal-fired power plant for $14.3 million on November 19, according to county land records. The company is planning a major redevelopment of the 47-acre property into a specialized AI data center complex. The proposed facility includes a primary data center building spanning 565,000 square feet and reaching up to 75 feet in height, accompanied by a separate 200,000-square-foot utility building.
The project has already received conditional approval from the Springdale Planning Commission and now awaits a final vote by the Springdale Council scheduled for December 16. If fully permitted, construction on the transformative project could begin in 2027, with the facility targeted to become operational by 2028, according to Brian Regli, a consultant working with Allegheny DC.
The proposal has not been without controversy, sparking protests from some Springdale residents concerned about potential noise and light pollution, increased strain on the local electrical grid, water usage, and impacts on property values. Despite these community concerns, the project underscores a critical trend in the data center industry: the hunt for sites with robust power access and the potential for sustainable reuse of brownfield locations. The successful conversion of this plant would mark a substantial step in the region's economic transition from traditional heavy industry to the infrastructure supporting the AI-driven economy.
Source: technical