Published in New Jersey

Data Centre Developer Sues New Jersey Town for $300m

Jul 30, 2026 | Posted by Abdul-Rahman Oladimeji

Data centre developer Hexa Builders is seeking $300 million in damages from Monroe Township, New Jersey, after officials rejected its proposed 1 million sq ft data centre in May. The lawsuit, filed in New Jersey Superior Court, alleges the township council and planning board violated multiple constitutional rights, including zoning authority, fundamental fairness, and First and Fourteenth Amendment protections.

Hexa argues the application was rejected because of the township’s opposition to data centres, rather than any shortcomings in the proposal. The developer is seeking to overturn the township’s data centre ban, introduced in April, and is also pursuing monetary damages. Monroe Township said the lawsuit "does not come as a surprise" to the mayor or township council.

“At each public meeting where this proposed project was discussed, the governing body stated that the data center ban would lead to litigation against the Township. Accordingly, the Township has been preparing to fight the lawsuit and will now zealously assert legal defenses in court.”Hexa_Builders.width-358.jpg

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