Tract’s 430-Acre, 900MW Data Center Campus Rejected by Local Officials in Hanover County, Virginia
June 2, 2026
Tract’s 430-Acre, 900MW Data Center Campus Rejected by Local Officials in Hanover County, Virginia
A massive data center campus proposed by Tract, a major land developer focused on digital infrastructure, has been rejected by local officials in Hanover County, Virginia. The decision marks a significant setback for one of the largest proposed data center developments in the region, highlighting the growing tensions between the rapid expansion of digital infrastructure and local community concerns over land use and environmental impact.
The project, which would have covered approximately 430 acres and delivered up to 900 megawatts of capacity, was denied by the Hanover County Board of Supervisors following public hearings and opposition from residents. Tract had pitched the campus as a critical piece of infrastructure to support the surging demand for cloud computing and artificial intelligence workloads in the Mid-Atlantic region, which is already a major hub for data center activity. However, local officials cited concerns over the scale of the development, its impact on rural character, traffic congestion, and strain on water and power resources.
Hanover County, located just north of Richmond, has seen increasing interest from data center developers due to its proximity to major fiber routes and access to electricity from Dominion Energy. However, the rejection underscores a broader trend in Virginia, where county boards are becoming more cautious about approving large-scale data center projects amid pushback from environmental groups and residents worried about noise, visual pollution, and the loss of agricultural land. The decision also reflects the growing complexity of siting hyperscale facilities, which often require hundreds of acres and power loads comparable to small cities.
Industry analysts noted that the rejection could have ripple effects for data center supply in the region, potentially driving developers to seek sites in neighboring counties or states with less restrictive zoning. Tract has not announced whether it will appeal the decision or revise its proposal to address local concerns. The company emphasized the economic benefits of the project, including job creation and tax revenue, but ultimately failed to secure the necessary approvals. As demand for data center capacity continues to rise, the outcome in Hanover County serves as a cautionary tale for developers navigating the increasingly contentious landscape of local permitting.
Source: datacenterdynamics
