Two Proposed Phoenix-Area Data Center Developments Highlight Land, Power, and Permitting Pressures in 2026

Two large-scale data center proposals advance in Mesa and the West Valley

Two new data center developments have been proposed in the Phoenix metropolitan area, underscoring the region’s continued role as a major U.S. destination for digital infrastructure. The projects involve separate plans in Mesa and in unincorporated Maricopa County near Luke Air Force Base, with permitting timelines that extend into the next decade.

West Valley: Project Baccara combines data centers with on-site natural gas generation

In the West Valley, Takanock, backed by DigitalBridge, is seeking approvals for what it has branded Project Baccara: two data center buildings paired with approximately 700 megawatts (MW) of on-site natural gas generation. The proposal identifies the location as an industrial area north of Luke Air Force Base.

Project materials indicate each data center would be roughly 1 million square feet and two stories tall. The site plan covers about 160 acres, including a portion allocated to the power plant footprint.

• Construction timing: targeted to begin in Q3 2026
• Operations timing: first facility targeted for Q1 2028; second for Q1 2030
• Utilities and services: Arizona Public Service identified for power supply; EPCOR identified for water and sewer services

The project is expected to require county- and state-level reviews, including a county military compatibility process and a Certificate of Environmental Compatibility process that includes public hearings.

Mesa: NTT expands planned campus footprint after a major land acquisition

In Mesa, NTT Global Data Centers is revising and expanding its local growth plans following the acquisition of roughly 173 acres at the northeast corner of Pecos and Crismon roads. The site is associated with a multi-building campus concept previously advanced for data center use.

Project plans described in public reporting and company statements indicate a campus concept of seven facilities. A timeline shared for the development places the first building’s availability in the 2028 timeframe.

Why these proposals matter for Phoenix-area communities

The two projects illustrate how data center growth in the Phoenix area increasingly intersects with land-use policy, long-range infrastructure planning, and public permitting. Key variables include:

• Electricity supply and grid integration, particularly where projects propose large on-site generation
• Water and wastewater service capacity in rapidly developing parts of the metro
• Sequenced buildouts that can stretch across multiple years, affecting cumulative impacts and planning assumptions
• Public hearing processes at county and state levels that can shape project conditions and timelines

Both proposals are at the planning and permitting stage, with construction and delivery dates dependent on approvals and infrastructure coordination.

As the proposals progress, upcoming public meetings and regulatory filings are expected to clarify final site plans, phasing, and operational commitments tied to power, water, and compatibility requirements.