Skylar Capital Management has withdrawn its proposed Townsite Solar 2 data center campus from Boulder City, instead opting to resubmit it on federally owned land.
The campus was initially proposed on an 88.5-acre site. The Boulder City Planning Commission recommended denial of the data center development on May 20.
Early iterations of the plan indicated it would consist of a 40-foot-tall data center building with varying parapets and mechanical screening. Facades would use non-reflective earth-tone materials and finishes that complement the desert landscape.
The proposal described the center as an “institutional grade, hyperscale/AI-ready data center campus.” It was proposed with a closed loop system that would prioritize the use of effluent instead of potable water. The system would need an initial 400,000 gallons of water and then it would require 2,000 gallons daily to maintain kitchens and bathrooms. NVBEX has extensively covered the Townsite Solar 2 proposal.
The Bureau of Land Management approved a right-of-way grant to construct the data center on an 80-acre site adjacent to the initially proposed one. The BLM granted its approval on June 26.
This follows public backlash to data centers, with residents and activists expressing concerns regarding utility usage and environmental impact. Opponents to the development are also concerned about a perceived lack of public engagement by the BLM, as the National Environmental Policy Act typically requires public outreach for projects on federal land.
If the data center is constructed on federally owned land, Boulder City citizens would not benefit from any direct economic impacts generated by the facility. If it were built within city limits, it would have generated roughly $2.3M annually.
