Microsoft has completed the acquisition of approximately 21 acres adjacent to its existing Palmetto data center campus in Atlanta, having invested USD 6 million as indicated by county property deeds.
Bowen Wallace, Microsoft's corporate vice president of data centers in the Americas, emphasized that this land purchase is in support of ongoing data center construction activities in the area.
This acquisition at the Palmetto site occurs amidst Microsoft's deliberations concerning its 90-acre property in Atlanta's Grove Park neighborhood. Initially intended for a vast office campus and mixed-use development, plans were halted a year ago, prompting increased scrutiny regarding future intentions.
Data Center Development
The Palmetto data center campus was granted approval in November 2020, alongside a USD 14.5 million property tax incentive from the Development Authority of Fulton County. The project, valued at USD 420 million, was designed to encompass 250,000 sq. ft. of data center space. Microsoft's filings with the Georgia Department of Community Affairs suggest that the expansion could extend to 116 acres by 2028.
Apart from the Palmetto site, Microsoft is concurrently engaged in data center projects in East Point and Douglas County.
Data Center Concerns
The number of data center facilities across Georgia, particularly in proximity to Atlanta, has raised concerns among communities, utility providers, and legislators. Nearly 20 large-scale data center campuses are either in the developmental phase or planning significant expansions.
In response, the Georgia House recently endorsed legislation aimed at suspending sales tax exemptions for equipment utilized within data centers, reflecting concerns over their impact on power grids and resource consumption.