Penzance to invest $4B for West Virginia data center build | Dump Trucks Charlotte NC

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Columbus Ohio Dump Truck Company Brief:

• Penzance, a Washington, D.C.-based real estate owner, operator and developer, will invest $4 billion to build a data center in West Virginia, according to a news release from the office of Gov. Patrick Morrisey.
• At full buildout, the facility will total about 1.9 million square feet and deliver 600 megawatts of critical IT capacity. The entire campus sits on 548 acres in the Falling Waters District of Berkeley County, according to the release, a little over an hour’s drive from Virginia’s Data Center Alley.
• West Virginia will not allocate any state funding to the project. Instead, the investment represents private capital choosing West Virginia because of the state’s business climate and energy strategy, according to the release.

Dump Trucks Columbus OH Insight:

The project is located in the state’s Eastern Panhandle, within an easy drive of Loudoun County, Virginia. The stretch, dubbed Data Center Alley, boasts the largest concentration of data centers globally. 

The development spotlights West Virginia’s intention to become a powerhouse hub for artificial intelligence and cloud computing, said Morrisey in the release.

“This $4 billion is a historic win that proves West Virginia can compete at the highest level for the global tech economy,” Morrisey said. “This project brings a massive new revenue stream to our communities — all driven by private capital and our commitment to a business-friendly, reliable energy strategy.”

Penzance ultimately selected the West Virginia site due to the state’s Power Generation and Consumption Act and House Bill 2002. The legislation streamlines permitting, expands microgrid use and allows companies to use coal, natural gas and other reliable energy sources. That type of regulatory environment eliminates bureaucratic barriers and accelerates development, according to the release. 

“West Virginia has created a truly business-friendly environment for companies investing in digital infrastructure,” said Victor Tolkan, managing partner and founder of Penzance. “Governor Morrisey has championed policies that position the state as a leader in the data economy.”

Easy regulatory timelines rank as a big draw for potential data center projects. 

In Arkansas, for example, AVAIO Digital cited the state’s streamlined process as a main factor behind its decision to build a $6 billion project there. The Trump administration also pushed an initiative last summer to accelerate federal permitting and unlock financial incentives for large-scale data center builds.

Activity on the Penzance project in West Virginia will generate about 1,000 construction jobs, with space for additional growth as the campus expands, according to the release. 

“I am very optimistic about this project,” said Eddie Gochenour, president of the Berkeley County Commission. “We have already identified a significant opportunity to potentially utilize reclaimed water, which will lower costs for the company, save taxpayer money for the county, and preserve our vital natural resources.”