Microsoft Expands La Porte Data Center Campus, Plans 17 Buildings on Expanded Site
April 23, 2026
Microsoft is scaling up its data center development in La Porte, Indiana, seeking to rezone adjacent property for future expansion as part of a broader push into the region’s rapidly growing digital infrastructure market. The move underscores the hyperscaler’s accelerating investment in the Midwest, where demand for AI-ready data center capacity is driving unprecedented construction activity.
During a community meeting held April 21 at the La Porte Civic Center, Microsoft disclosed that while it continues work on its initial site, it is “seeking approval to rezone adjacent property to [its] site,” which would be developed at a later date. The expansion follows a $1 billion commitment Microsoft made in 2024 to build a 245,000-square-foot (22,800 sqm) data center on 489 acres at the Radius Industrial Park, marking the company's first major footprint in Northwest Indiana.
The first phase of the project originally included six data centers and a substation on the initial plot. However, according to a draft conceptual site plan shared during the meeting, Microsoft now envisions 17 buildings on an expanded plot of land bounded by East 250 South, East State Road 4, and Stevens Road. It remains unclear how many of those structures will be dedicated to data center operations. The company began site preparation work in March 2026, which will continue through the summer, with Buildings 1 through 3 under construction until the end of 2027. The first data centers are expected to be completed by 2029.
Microsoft reiterated that it will build the campus in line with its Community-First AI Infrastructure initiative, a program launched earlier this year to address growing concerns about rising power costs and the strain on local resources caused by large-scale data center development. The initiative emphasizes community engagement and sustainable infrastructure planning.
Beyond La Porte, Microsoft has also purchased 939 acres in Mishawaka, Indiana, believed to be for another data center project, and sought an additional 40 acres there in April 2025. La Porte, located in Northern Indiana just southeast of Michigan City, is becoming a focal point for hyperscale investment. Google is currently developing a campus in Michigan City, having taken over the Project Maize data center site at 402 Royal Road earlier this week.
The Hoosier State is witnessing a surge in data center activity. In November 2025, Amazon Web Services announced it would invest $15 billion in data centers and AI infrastructure across Indiana, on top of an $11 billion investment announced the previous year in St. Joseph County. Other major players with a presence in the state include Meta, US Signals, DataBank, Netrality, and Digital Crossroads.
Source: datacenterdynamics
