A significant investment has been made in Hazleton, Pennsylvania, where NorthPoint Development has acquired land for a major data center project. The company, based in Kansas City, Missouri, has spent $23 million to secure land in the area, where it previously established a 1-million-square-foot warehouse. The proposed data center will be the largest in the region and is expected to rely on sufficient power to accommodate approximately 90,000 homes.
The site for the data center, known as Project Hazlenut, will be strategically located adjacent to Eagle Rock Resort. It is designed to utilize electricity from a high-voltage line and cool its equipment using treated wastewater. This approach has drawn scrutiny, particularly concerning the environmental impact and the tax incentives granted to NorthPoint by local governments.
Local opposition has emerged regarding the project, particularly against the plan by PPL Electric Utilities to electrify the data center through a 500-kilovolt line. A town hall meeting will take place on Tuesday at 5:30 p.m. at Hazleton Area High School, organized by three state lawmakers to address community concerns about the high-voltage power line.
Economic Impact and Community Response
NorthPoint Development has a track record of industrial projects across the United States, having developed industrial buildings in 27 states and opened 37 data centers in 18 states. In Northeast Pennsylvania, the company manages 16 properties, which include facilities for well-known companies like Chewy and DHL.
According to a news release from the office of Governor Josh Shapiro, the technology park associated with NorthPoint’s project is part of the Fast Track economic development program, with an estimated potential to create 900 permanent jobs in the region. However, details on job creation directly linked to the new data center remain undisclosed due to non-disclosure agreements.
Since July 10, 2024, NorthPoint has executed at least 34 land purchases in the Hazleton area, totaling approximately $23.79 million for land that was assessed at $3.33 million. These acquisitions include 1,583 acres in Hazle Township, representing 6.2% of the township.
Power Supply and Environmental Considerations
The planned data center will require an estimated 300 megawatts of power, which poses significant challenges for local infrastructure. To meet this demand, PPL proposes constructing a switchyard and substation to connect the data center to a high-voltage line that would run approximately 12 miles from a nuclear power plant in Salem Township.
The electricity would be transmitted through an existing right-of-way, but upgrading the infrastructure will necessitate land acquisition from adjacent property owners. Local residents have expressed concerns about the height of the proposed power poles, which could reach between 100 to 240 feet. A petition opposing the project has circulated, citing threats to the environment and community way of life.
During the upcoming town hall meeting, community members will have the opportunity to learn more about their rights and the resources available to them, as well as engage with state representatives and officials from the state Consumer Advocate’s office.
As part of its operational strategy, NorthPoint has opted to use treated wastewater from the Greater Hazleton Joint Sewer Authority for cooling purposes. This arrangement involves a pipeline and pumping station, with costs to the company potentially reaching $28,000 per day during peak summer usage, when cooling needs could require up to 2.8 million gallons daily.
NorthPoint has emphasized its commitment to utilizing previously mined land for this project, aligning with local economic revitalization efforts. Despite the challenges ahead, the company remains focused on advancing Project Hazlenut while balancing environmental concerns and community feedback.