Developers File $1.6 Billion Data Center Application in Cleveland Amid Potential Moratorium Threat
May 8, 2026
Developers File $1.6 Billion Data Center Application in Cleveland Amid Potential Moratorium Threat
A private credit firm has taken a major step toward building a $1.6 billion data center campus in Cleveland, Ohio, but the project faces an uncertain future as city officials consider a one-year moratorium on new data center developments. Lakeland Equity Group filed an application yesterday for a 150MW facility on a 35-acre site at 3560 E 55th St, a property currently owned by trucking company Morabito Enterprises. The proposed campus could include three two-story buildings spanning a total of 300,000 sq ft (27,870 sqm), according to local news outlet NEOtrans.
The filing comes at a time when data center demand is surging across the United States, driven by the expansion of cloud computing and artificial intelligence workloads. However, the project could be halted if the Cleveland City Council moves forward with a one-year moratorium proposed by a council member in April, as reported by News 5 Cleveland. The moratorium has not yet been formally considered by local authorities, leaving the application in a state of limbo. Lakeland Equity Group has sought to address community concerns, telling News 5 Cleveland that the data center would use closed-loop cooling, produce no smoke, no fumes, and generate no truck traffic, and that the company would work closely with local constituents.
Lakeland Equity Group, which describes itself as specializing in projects seeking funding equity shortfalls with gaps ranging between $1 million and $10 million, has limited public information available. The proposed site in Cleveland, located in northeastern Ohio on the southern shore of Lake Erie, marks a significant investment in a region where data center activity has historically been concentrated around Columbus, though Cleveland also hosts a notable number of facilities. If approved, the project would represent one of the largest data center investments in the state, potentially reshaping the local digital infrastructure landscape and creating economic opportunities, but the looming moratorium underscores growing local scrutiny of the industry's rapid expansion.
Source: datacenterdynamics
