Preble County Data Center Project Shelved Amid Community Pushback and Strategic Reevaluation

Ohio Data Center Proposal Withdrawn Following Public Opposition

A significant data center development proposal in Preble County, Ohio, has been officially withdrawn after facing substantial community resistance during the approval process. The project, which would have transformed approximately 300 acres of agricultural land into limited industrial use for digital infrastructure, was retracted just two days before the county commissioners’ scheduled vote.

Community Resistance Shapes Development Outcome

The turning point came during an early September public hearing that demonstrated the depth of local opposition. The meeting attracted such significant attendance that residents brought their own garden chairs to accommodate the overflow crowd, with numerous community members lining up to voice concerns about the potential development‘s impact on the area.

“We believe this process requires a different approach and will be re-evaluated sometime in the future,” the property owners stated in their withdrawal announcement. The statement suggests the developers recognize the need for modified strategies when pursuing future data center projects in similar communities.

Developer Profile and Regional Context

The development was backed by PRSM, a land development company specializing in digital infrastructure that formed in 2022. The company describes its mission as delivering “utility-ready, entitled sites for low-impact data center development” across multiple states including Virginia, North Carolina, New Jersey, and Kentucky.

While Preble County itself isn’t traditionally considered a data center hotspot, its location north of Cincinnati and proximity to Indiana positions it within a broader regional expansion pattern for digital infrastructure. Ohio has emerged as an increasingly attractive market for data center operators, with energy demand projections telling a compelling growth story., as as previously reported

Ohio’s Evolving Data Center Energy Landscape

The withdrawal occurs against the backdrop of significant energy policy changes affecting data center development across Ohio. American Electric Power Ohio, the state’s largest utility, forecasts sector demand could skyrocket from 600MW in 2024 to 5GW by 2030, despite recently implemented policies that have already reduced projected demand from 30GW to 13GW.

These policy changes, enacted in July, require data centers to pay for at least 85% of their projected energy needs regardless of actual consumption. This pricing model helps utilities manage the substantial infrastructure investments required to support the massive energy demands of modern computing facilities while ensuring cost recovery.

Broader Implications for Data Center Development

The Preble County situation highlights several emerging trends in data center site selection:

• Community engagement is becoming increasingly critical to project approval
• Rural and agricultural land conversions face growing scrutiny
• Energy infrastructure and pricing are decisive factors in development feasibility
• Strategic withdrawal and reevaluation may become more common as developers adapt to local conditions

This case demonstrates that even with proper zoning applications and developer expertise, community acceptance remains a pivotal factor in determining where data centers ultimately locate. As the industry continues its rapid expansion, successful developers will need to balance technical requirements with community relations and strategic timing.

The temporary setback in Preble County doesn’t necessarily signal the end of data center development in the region, but rather highlights the evolving landscape where community concerns and energy considerations are increasingly shaping the future of digital infrastructure placement.

References

• https://www.prsm-group.com/

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