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Proposed Lansing data center scrapped hours before council meeting

April 6, 2026
The exterior of Lansing City Hall on Sept. 23, 2020.
The exterior of Lansing City Hall on Sept. 23, 2020.

The company behind a proposed $120 million data center in downtown Lansing has scrapped the project. 

In a post shared to Facebook Monday afternoon, Lansing City Council President Peter Spadafore announced that Deep Green, the United Kingdom-based technology company that had proposed constructing a two-story, 25,000-square-foot facility, withdrew their proposal mere hours before Monday’s city council meeting. The council was set to vote to rezone a parcel of land to allow a data center.

It’s not immediately clear why Deep Green withdrew the proposal. On Monday afternoon, CEO Mark Lee wrote in a statement to WKAR that the company’s “commitment to building data centers the right way has never been stronger.”

“We are confident that Michigan is a place that values responsible development, and we continue to work with local partners and communities in the region,” Lee’s statement to WKAR continued. "We are fully energized in our mission to build the first data center of its kind in the United States, one that delivers advanced computing power while capturing and reusing waste heat for the benefit of the communities where we operate.”

The proposed center had galvanized activists, including students at Michigan State University, who argued that the project would create unnecessary carbon emissions. A spokesperson for Deep Green told The State News in January that the facility would provide carbon-neutral heat for Lansing Board of Water and Light’s hot water system, in exchange for the utility company providing power to the 24-megawatt data center.

Henry Jerred, a social relations and policy senior and coordinator with environmental activist group Sunrise MSU, said in an interview that he hopes the withdrawal of the Deep Green plan inspires opposition to similar projects elsewhere.

“I hope this inspires other communities around the state to know that a future governed by artificial intelligence and by big tech is not inevitable and that communities have the power to stop these sorts of things,” Jerred said.  

Members of the student group have attended past City Council meetings and spoken during public comment in opposition of the project. They also attended an open-house event hosted by the council and Deep Green.

The center would have served as a leasing space for companies, including those that operate artificial intelligence products, to charter servers for storing large amounts of data.

However, according to Spadafore’s Facebook post, “the data center proposal downtown will not move forward.”

“It's really exciting that this development seems like it's over,” Jerred said, later adding that “The fight doesn't stop here, there's still a ton of these developments around the state." 

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