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Home > Data Center > Microsoft is to build a new $400 million data center in Virginia

Microsoft is to build a new $400 million data center in Virginia

Microsoft is planning to build a new $400 million data center in Loudoun County’s Arcola Business Park as reported by public records and the county’s economic development agency.


Hanife Diktas Hanife Diktas
December 6, 2022
2 min read
Microsoft is to build a new $400 million data center in Virginia
  • Microsoft advances its plan to build a $400 million data center site on 67 acres in Loudoun county in Virginia, U.S.A.
  • Loudoun’s data centers serve more than 3,500 technology companies. In the county, more than 25 million square feet of data centers are currently operational with another 4 million in the development phase.
  • Microsoft already has several data centers in Loudoun County, Ashburn, Leesburg, and Sterling, in addition to some in Prince William County and Manassas city.

Loudoun County’s public records and the county’s economic development agency have reported that Microsoft is planning to build a $400 million data center on 67 acres that it owns in Loudoun County’s Arcola Business Park.

More than 3,500 technology companies get service

The data center site plan was already approved by the county for fast-track development in November 2020. According to county documents, Microsoft can go ahead with construction as soon as the other necessary approvals are provided. Once the data center is completed, to be named IAD11, it will spread 500,000 square feet and create 80 jobs.

Loudoun Economic Development Department reports that the data centers operating in Loudoun are home to more than 3,500 technology companies resided within. More than 25 million square feet of data centers are currently operational with another 4 million in the development phase. The department informs that the data centers and the data center ecosystem provide more than 12,000 jobs in Loudoun County. The county also provides the data centers incentives including a 6 percent sales and use tax exemption on servers, generators, chillers, and server-related equipment. The department’s website states;

« There has not been a single day without data center construction in Loudoun in more than 13 years. Loudoun’s Fast-Track Commercial Incentive Program allows data center operators to get to market in record time. Our experience as a premier data center location provides an unparalleled level of confidence in the process. »

Microsoft or its construction partners declined the news while Loudoun Economic Development Department documents and executive director Buddy Rizer confirmed the development. The county executive director informed that the project moves along smoothly. And he also noted that an amendment for the already-approved site plan is under review and that permits are pending. Virginia Department of Environmental Quality records also shows that Microsoft filed an air quality permit for the project that’s been pending since April.

Microsoft acquired the land in August 2020 for $93.7 million. The previous owner was Arcola Business Park LLC, a joint venture of Baltimore-based St. John Properties Inc., and Chuck Kuhn, CEO of Sterling-based JK Moving Services, as well as JK Land Holdings LLC, the land acquisition firm at which Kuhn also serves as president. Microsoft already has data centers in Loudoun County, Ashburn, Leesburg, and Sterling, in addition to some in Prince William County and Manassas city.

See more Data Center News


Tags: Microsoft
Hanife Diktas

Hanife Diktas

Hanife Diktas is a news editor at Cloud7 News. Hanife started her career in the manufacturing sector in the marketing and sales department. Hanife worked in industrial equipment, renewable energy, and technology sectors. Hanife Diktas did her bachelor's degree in business administration and completed a master's degree in management at Yeditepe University in Istanbul, Turkey. Hanife is a Linux user, and she also contributed to AlmaLinux OS at the beginning of the project. Hanife focuses on web hosting, cloud computing, data centers, cybersecurity, Linux OS, and virtualization technologies. Hanife enjoys creating content and shooting videos covering these topics.

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