Boulder City Data Center Postponed as NV Energy Struggles to Meet Demand

Credit: JW BCNV GIS/City of Boulder City
Credit: JW BCNV GIS/City of Boulder City

The Boulder City Planning Commission accepted Skylar Capital Management’s request to postpone a hearing on the proposed Townsite Solar 2 data center.

The data center is proposed on an 88.5-acre site. The Planning Commission was initially scheduled to consider the project April 15 but will now review the proposal May 20. Skylar Capital Management’s affiliate, Townsite Solar 2, LLC, requested the change.

The first phase of the data center project focused on creating energy storage facilities. Phase One was owned by Arevon Energy, Inc., which is serving as a joint venture partner for Phase Two.

Developers intend to hold another open house to discuss the data center project with the community. While some details surrounding the facility have yet to be announced, the data center will stand 40 feet tall with varying parapets and mechanical screening. The facades will utilize non-reflective earth-tone materials and finishes that align with the desert landscape.

Operationally, the data center is described as an “institutional-grade, hyperscale/AI-ready data center campus.” The data center will make use of effluent instead of potable water. Annual consumption will not exceed 650,000 gallons/day.

When effluent is not being used to cool the system, power will be used. This will require 20-25% more power than a cooling system prioritizing effluent water. (NVBEX; March 25)

The company recently constructed a 180-megawatt alternating current photovoltaic solar storage project alongside a 90MW/360megawatt/hour Battery Energy Storage System in Boulder City.

Townsite Solar 2 received substantial attention from local residents fearing its resource consumption and noise pollution.

Editor’s Note: BEX has covered data center restrictions across various jurisdictions in Arizona. To view our previous coverage, click here.

The planning and construction process is expected to take years. The data center is anticipated to produce millions in revenue if and when it is built.

NV Energy Struggling to Meet Demand

NV Energy, the largest utility company in the Silver State, recently said it needs to increase energy production by three times the amount needed to power Las Vegas to accommodate proposed data centers statewide. The utility also said it will be unable to reach those goals without fossil fuels.

The State of Nevada has a series of clean energy targets to meet, such as maintaining its grid with at least 50% renewable power by the year 2030. If the utility fails to meet those goals, the Nevada Public Utilities Commission may be able to fine the company. The Commission could also decide to grant an exemption or take other action.

This follows NextEra Energy’s announcement that it has relinquished its goal to reach zero emissions by 2045, citing the “demand for all forms of power generation.” NextEra Energy serves commercial electricity in more than a dozen states. Data center supporters have said the industry was responsible for roughly half of clean energy procurement in 2024.

Nevada is currently an attractive location for data centers due to its absence of corporate income tax, inexpensive land and tax breaks for data center developments.

NV Energy currently requires developers to fund their own infrastructure and energy requirements but does not specify what type of energy must be used.

NV Energy is expected to release a report covering more consumption-related specifics later this month.

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Mark Hobaica

Mark Hobaica

Executive Vice President

Core Construction

Since 2019, as CORE Construction’s Executive Vice President for Nevada, Mark ensures every client CORE serves receives the highest level of personalized care for every project. Mark’s passion is client Trust. He cares deeply about CORE’s reputation, partnerships and providing the highest quality and services, as well as most honest and best value possible. He has worked in the Las Vegas Valley and for the Public Works sector for nearly 35 years. He began as an owner in a local architectural firm designing and overseeing projects for Public Works clients for nearly 12 years. He clearly understands the expectations of the public sector, as he then directed numerous projects for over 16 years as the City Architect for the City of Henderson. His focus has always been delivering projects using CMAR or Construction Manager at Risk as he has implemented dozens of projects with his trusted approach, while always involving every stakeholder to ensure each individual receives the highest level of services expected.