Prime Data Centers LLC has announced plans to develop a state-of-the-art data center campus in East Austin, with an estimated total investment of $4 billion. In order to move forward with this project, the company sought government economic incentives.
According to the Austin Business Journal, Prime Data Centers received approval for financial incentives from the Caldwell County Commissioners Court. These incentives include a 10-year property tax abatement and an annual payment from the county in lieu of taxes equivalent to 40% of what would have been owed. This incentive package will apply specifically to phase one of development, which is valued at $1.3 billion.
The first phase will consist of two buildings spanning over 262,000 square feet each and capable of supporting up to 48 megawatts for a single user tenant who has not yet been identified. The value per building is estimated at approximately $450 million.
While data centers do not typically create many long-term jobs, they do contribute significantly towards increasing tax revenue due their substantial investments in infrastructure and technology on site.
This recent announcement by Prime Data Centers LLC highlights their commitment towards expanding their presence within Austin’s thriving tech industry through strategic partnerships and innovative developments that benefit both businesses and local communities alike.
