In its Oct. 1 meeting, the Casa Grande Planning and Zoning Commission approved a conditional use permit request that will allow development of a new 954-acre data center campus south of Montgomery Road and Maricopa-Casa Grande Highway.
The request from owner LKY Development Company Inc. is part of the 2,250-acre Grande Valley Industrial master planned area approved last year. AZBEX was the first outlet to report on the master plan. (AZBEX; Oct. 15, 2024)
A DATABEX project database update from last month reports LKY is looking for a buyer to purchase the Grande Valley Industrial site and take over development.
The narrative for the Grande Valley Data Center Campus, prepared and submitted by Colliers Engineering & Design, says, “The Property is located within the Grande Valley Industrial area and is currently zoned General Industrial (I-2). If approved, the requested CUP will allow the development and operation of a data center campus with accessory on-site electrical generation and utility distribution infrastructure (the “Project”). The Project will provide digital infrastructure to meet growing computing demand and support technological and economic advancement at the regional and national levels. The Project has been designed with consideration for Arizona’s arid climate and the importance of responsible resource stewardship, incorporating low- to zero ongoing water consumption cooling technologies, sustainable building practices, and low-emission/de minimis on-site electrical generation.”
The site is currently vacant and used for agricultural purposes, as is the land to the west. The Cactus Mine is situated to the north, while the Ivanhoe Mine lies to the east and south.
The project will feature multiple data center buildings, on-site natural gas power generation and a battery energy storage system. The power component is planned as California-based Bloom Energy’s first Arizona installation. The company has more than 1,000 installations around the U.S., according to a local news report.
The narrative says, “The campus is designed to include dedicated on-site power generation to support each phase of development. Power will be supplied through a connection to the existing gas pipeline located directly adjacent to the southern boundary of the Property, which will provide fuel for the Project’s on-site generation system. As currently designed, the campus is not anticipated to rely on a traditional electric grid connection for primary power service.”
The data centers will incorporate now-standard closed-loop cooling systems to minimize water use and environmental impacts.
Development is planned in two phases.
The article reported several members of the public and anti-data center activists spoke against the proposal. Opposition comments included concerns about water and power use, increased utility rates, community impact and project scale.
The Commission voted 6-1 in favor of the CUP approval.
LKY Development Company Inc. is the owner. Planning and entitlement are by Colliers Engineering & Design. Gammage & Burnham is the land use counsel.

