Vintage Partners Abandons Phoenix, Arizona Data Center Plans

Vintage Partners has scrapped plans for a data center in Laveen, Phoenix, Arizona. The developer will instead move forward with a mixed-use project on the 63-acre site, featuring commercial, retail, restaurant, and multifamily residential space.

Vintage changed course at the request of the City of Phoenix after facing challenges related to local regulations and power availability, despite having already begun initial infrastructure work, according to the Phoenix Business Journal.

Phoenix has tightened oversight of data center development over the past year, citing concerns about land use and power demand. Just over a year ago, the city voted to introduce stricter regulations on data center growth, following calls from Mayor Kate Gallego to end tax incentives for the sector. The new rules were formally adopted on July 2.

According to the Phoenix Business Journal, the updated regulations along with changes to the power connection queue meant Vintage would have been required to fund grid upgrades as part of a user “cluster,” according to Crutchfield.