The company has its North American HQ in Plano but this would be its first project south of I-30.
LANCASTER, Texas — This story was originally published by our content partners at the Dallas Business Journal. You can read the original version here.
NTT Global Data Centers Americas Inc. could add more computing power in the Metroplex as it considers putting a roughly 225,000-square-foot data center in Lancaster.
The facility could be built on a roughly 108-acre site on the northwest corner of Sunrise and Belt Line roads, according to recent public documents. It seems like the company has not made a final decision on the site, but recent regulatory decisions show momentum is building. This kind of investment would add to the large sums being poured into data center development in North Texas.
NTT declined to comment.
Shane Shepard, director of economic development for Lancaster, said NTT is still considering several factors including an ERCOT capacity study, decisions from Oncor and state legislative activities before it closes on the property.
To encourage the company to move forward with the development, Lancaster City Council on Dec. 9 approved an economic development agreement for the project. The incentives package requires NTT to occupy the facility by January 2028 and donate a minimum of $50,000 annually to city-sponsored events or city improvements projects. The company would also have to create a minimum of 27 jobs with an average salary of $80,000.
NTT has 180 days to close on the site under the terms of the deal.
The development would have a taxable value of about $110 million, which could increase to about $250 million if the company develops additional buildings on the site, according to city documents.
NTT would be eligible to receive 10 years of real and business property tax rebates, if it meets all the requirements of the agreement.
Shepherd said the community welcomes data centers because the facilities generate high-paying jobs and without putting a large strain on public resources such as roads.
NTT Data is an information technology and data center company headquartered in Japan and with its North American operations based in Plano. It has roughly 195,000 employees, according to its website, and seven U.S. data centers, including a 230,000-square-foot facility on Lookout Drive in Garland. Previously state filings indicated NTT could add three additional centers at the Garland site.
The potential data center project headed to Lancaster is just the latest in the busy data center market in the Metroplex.
Microsoft Corp and QTS Realty Trust LLC have plans to develop multiple buildings with more than 1 million square feet combined in Irving.
In Denton, a cryptocurrency mine is in the midst of a $6 billion transformation into an artificial intelligence data center.
And Dallas-based CyrusOne LLC has filed plans with the state indicating it wants to build a $200 million data center in north Fort Worth.