South DFW Data Centers Surge
Ten facilities operate in three towns while 36 more are under construction or proposed.
By Ethan Cooper ·
The Dallas-Fort Worth region is rapidly expanding its infrastructure footprint to accommodate the growing demand for digital storage and processing.
New mapping data reveals a concentrated cluster of data center projects in three communities south of downtown Dallas: Lancaster, Red Oak, and Wilmer.
This cluster currently houses ten operating data centers. An additional 36 facilities are either under construction or in the planning pipeline.
The growth is not evenly distributed across the region. The data shows a specific corridor running along Interstate 35 and extending east toward Interstate 45.
In Red Oak, nine data centers are currently active. Another 14 are in the works or being proposed.
Lancaster has three facilities under construction, with 11 more in the pipeline. Wilmer has one operating center and 11 new ones planned.
John McWilliams, a data center analyst at Cushman & Wakefield, attributes this clustering to the region's reliable power supply and established fiber optic connections.
McWilliams noted that the Dallas market is on track to become the largest data center location in the United States, overtaking Virginia.
He stated that the local market is projected to nearly double in size within the next three to five years based on current construction projects.
Haynes Strader, chief development officer at Skybox, said the area sits at a major electric power intersection between West and North Texas.
Skybox is building a 100-acre campus in Lancaster. Strader said the company targets industrial areas and aims to provide tax revenue to local cities.
Residents in these communities are reacting to the rapid changes in their neighborhoods. Chris Villegas, a Red Oak resident, said he learned about a nearby project on social media only after moving to the area for a rural lifestyle. "We saw tractors driving down the street, lots of just farmland," Villegas said. He and neighbor Lacey Hammel have formed a group opposing further expansion. Hammel expressed concern that increased development would raise land values and encourage unchecked growth. "I feel like if they add all of this, then the land is going to be even more valuable in that regard. So, the growth would seem to just continue unchecked," Hammel said. Red Oak Mayor Mark Stanfill said the benefits outweigh the concerns. He wrote that data centers provide the revenue needed to build parks and fix roads. "A data center is actually a better deal for a city than a giant new neighborhood," Stanfill said. At the state level, Gov. Greg Abbott has paused state permits for data centers until regulators complete an audit of grid connections. The Texas Legislature is expected to review new regulations for the industry starting in January. These discussions may influence the pace and location of future construction.
