May 07, 2026 | Posted by Abdul-Rahman Oladimeji
A 706-acre data center project has been approved for development outside San Antonio, Texas. CloudBurst received approval from the Guadalupe Commissioners Court on April 21, following the authorization of a $500 million tax abatement and a development agreement for the project. The company plans to invest $14.5 billion to construct between 10 and 12 data center buildings on a site near San Marcos, located between Center Point Road, Francis Harris Lane, and Huber Road. The campus is expected to span around 3 million square feet (278,709 sqm).
According to a presentation at the April 21 Commissioners Court meeting, the 1.2GW campus will be developed in three phases of 400MW each, with the first phase scheduled to begin in 2026 and complete by 2027. The project spans both Hays County and Guadalupe County. An initial 50MW phase has already broken ground and is expected to come online in Q4 2026. CloudBurst also said the campus will use closed-loop cooling and rely on behind-the-meter power generation. The company estimates the development will generate about $120 million in annual tax revenue for the local community and counties.
Both the tax abatement and the development agreement were approved by a narrow one-vote margin, despite strong opposition from attendees, most of whom spoke against the proposal. Many residents raised concerns about the project’s environmental impact, while others questioned whether the data center could have negative health effects. A petition opposing the development has also gained more than 1,200 signatures at the time of reporting.
