Oregon Cancels Land Sale for $5.1 Billion Salem Data Center After Public Pushback

Following public pushback, Oregon Governor Tina Kotek has canceled the proposed sale of 32 acres for the development of a $5.1 billion data center at the Mill Creek Corporate Center in Southeast Salem.

Kotek announced in a Press statement following growing community concerns about grid stability, electricity costs, and water usage.

Growth Has To Make Sense For the Community, the Infrastructure, and Natural Resources

“I believe in growing Oregon’s economy and welcoming new investment…but growth has to make sense for the community, for our infrastructure, and for our natural resources,” says Kotek.

The 32 acres are owned by the state’s Department of Administrative Services, which has been directed to terminate the proposed sale with Verrus. The California-based company plans to develop a 75-acre data center on the Mill Creek site.

Kotek’s decision is consistent with her support of economic development that creates family-wage jobs, strengthens regional economies, and helps Oregon to compete for future investment.

However, the governor says that these priorities must balance the impacts on housing, energy, water, transportation, and quality of life.

Her decision to withdraw from the sale of the land for a proposed data center underscores her commitment to ensuring that state assets are managed to advance Oregon’s long-term interests, support local communities, and align with priorities around affordability, responsible economic development, and stewardship of public resources.