25MW AI Data Center Planned for McMinnville, Tennessee, Targeting Grid Independence
May 27, 2026
25MW AI Data Center Planned for McMinnville, Tennessee, Targeting Grid Independence
A new 25MW AI data center is set to be developed in Warren County, McMinnville, Tennessee, marking a significant expansion of specialized computing infrastructure in the region. The project, known as the Hixson Data Center, is being designed as a state-of-the-art AI campus spanning 96,065 square feet across two levels, purpose-built to handle high-density compute workloads and specifically engineered to support the Nvidia GB200 NVL72 platform.
The developer, currently in the process of securing financing, is seeking a single tenant to lease the entire 25MW of IT capacity. The facility is expected to reach completion in the first quarter of 2028. According to Hixson’s website, the site is situated on industrially zoned land adjacent to transportation corridors and a Railroad Spur, providing logistical advantages for construction and ongoing operations.
A key feature of the project is its emphasis on energy independence. The developer has secured agreements with Bloom Energy to supply 30MW of guaranteed on-site power through Solid Oxide Fuel Cell (SOFC) technology. SOFCs convert natural gas or hydrogen fuels into electricity without combustion, resulting in low or zero CO2 emissions. In addition to the fuel cells, the data center will be equipped with diesel generator backup and a 25MW battery energy storage system. The combination of these resources, the developer says, will allow the facility to operate entirely grid-independent, avoiding reliance on local utility connection timelines.
Cooling infrastructure will include direct-to-chip cooling via coolant distribution units, alongside chilled water air handling units, hot aisle containment, and economizer heat exchangers, ensuring the facility can manage the thermal demands of high-performance AI hardware.
The developer cited Tennessee’s business-friendly environment as a decisive factor in the location choice. The state imposes no personal income tax, offers competitive franchise and excise tax rates, and maintains a pro-business regulatory climate. Additionally, land and construction costs in the region are lower compared to primary data center markets such as Northern Virginia, making McMinnville an attractive alternative for large-scale AI infrastructure investment.
Source: datacenterdynamics
