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Potawatomi-Backed Data Center Eyes Expansion in Concordia Despite Milwaukee's Moratorium
Data Holdings, which operates the Forest County Potawatomi Tribe's 46,000-square-foot data center near 33rd and State streets, wants to build on an adjacent vacant lot even as Milwaukee's temporary pause on new data centers remains in effect. The company says it is working with the city to determine how the moratorium applies and has not yet settled on a final size or scope.
MILWAUKEE â The operator of a tribally owned data center on the city's near west side is moving ahead with plans to expand onto a vacant lot next door, even as Milwaukee's temporary moratorium on new data centers remains in place.
Data Holdings, which runs the 46,000-square-foot Potawatomi Data Center near 33rd and State streets in the Concordia neighborhood, confirmed in an email that it intends to build on the adjoining empty parcel. The company said it is still early in the process and has not finalized the size or scope of the project.
"We are working with the city to understand how the moratorium applies to the site," a company spokesperson said, describing the proposal as an expansion of an "existing, modestly sized data center rather than a new hyperscale development."
Online records show the proposal has been referred to the Common Council's zoning committee, where aldermen will weigh how the city's pause on new data centers â adopted amid growing concerns about the power, water and land demands of the fast-growing industry â applies to a project that would enlarge an existing facility rather than start from scratch.
The current building was designed "with sustainability in mind," according to the spokesperson, and relies on a closed-loop cooling system that uses no water for cooling. The company said it would carry that same approach into any expansion.
"We would bring that same approach to the planning of any future expansion," the spokesperson said.
Data centers have become a flashpoint in Milwaukee and across Wisconsin as the computing infrastructure behind artificial intelligence and cloud services expands. Critics have raised alarms about electricity consumption, water use and the loss of developable land, while supporters point to tax revenue and construction jobs. The city's moratorium was intended to give officials time to study those impacts before approving new facilities.
The Potawatomi Data Center is owned by the Forest County Potawatomi Tribe and operated by Data Holdings. Its location in a residential neighborhood on the near west side means the expansion will likely draw scrutiny from nearby residents and from aldermen weighing the project against the city's broader review of data center policy.
It remains unclear when the zoning committee will take up the proposal or how long the city's moratorium will remain in effect. Company officials said they have no timeline for a final plan.