Lewiston, Maine, Poised to Approve $300M AI Data Center in Historic Mill

Lewiston, Maine, Poised to Approve $300M AI Data Center in Historic Mill
December 11, 2025
The city of Lewiston, Maine, is set to consider a transformative redevelopment project that would convert a long-vacant industrial mill into a major hub for artificial intelligence computing. This move highlights the growing trend of repurposing legacy industrial infrastructure to meet the explosive demand for data capacity driven by generative AI technologies like ChatGPT. City officials will vote next week on a joint development agreement to greenlight a $300 million AI data center project at Bates Mill No. 3. The initiative, a partnership between building owner Bill Johnson and developer MillCompute LLC, aims to revitalize the property left empty since TD Bank's departure in 2020. The project is planned in at least two phases, with the initial development focusing on the mill's first two floors, encompassing approximately 85,000 square feet. Greg Mitchell, a spokesman for MillCompute, stated the company's goal is “to re-establish Lewiston as an industrial powerhouse, this time for AI across all New England.” The facility is designed as a Tier III data center, a classification by the Uptime Institute denoting 99.982% availability, suitable for continuous operations. The upper two floors of the mill are slated to become modern office and innovation space for technology and healthcare firms. City Administrator Bryan Kaenrath hailed the project as a significant win, citing new tax revenue and an estimated 20 to 30 jobs. A key component of the financial agreement is a 20-year tax increment financing deal that will return 90% of property taxes to the developer for the first decade and 85% for the following decade, with Lewiston still receiving $798,250 annually in property taxes for the initial 10-year period. Mayor Carl Sheline praised the “out-of-the-box thinking” behind repurposing the mill for a use beyond traditional office space. Addressing common concerns around large AI data centers, the development team emphasized plans to minimize environmental impact. Nate Libby, Lewiston's director of economic development, noted the site offers robust fiber connectivity and that Central Maine Power reports adequate excess electricity supply. The project's second phase includes a 20-24 megawatt natural gas co-generation system to power the facility. Mitchell added that efficient, closed-loop cooling systems and Maine's climate would keep water usage to a minimum. If approved, this would be at least the second large-scale data center development in Maine, signaling the state's emerging role in the digital infrastructure landscape. The council's decision on Tuesday will set the project in motion. Source: pressherald