Van Buren Township advances 1 GW ‘Project Cannoli’ data center: ‘It’s a big decision’

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The Van Buren Township Planning Commission voted 5-2 Wednesday night to grant preliminary site plan approval for “Project Cannoli,” a 1-gigawatt data center planned for property north of I-94 between Haggerty Road and I-275. 

The vote followed a nearly five-hour public meeting, with lengthy presentations from developers.

Commissioner Jeff Jahr said the applicant, Panattoni Development Co., is in compliance with the township’s zoning ordinance, and it’s the commission’s duty to move the project past the preliminary stage. 

Township planning commissioners added conditions, including that Panattoni enter into a development agreement with the township board prior to final approval.

Commissioners Jackson Pahle and Bernard Grant voted against approval, with Pahle citing a township ordinance stating that it must provide for orderly development, with no undue burden upon residents.

After hearing from residents on the issue for three months, it’s clear the project would create such a burden, Pahle said.

Treasurer Sharry Budd, who serves as the township board’s representative on the planning commission, said the township board is the next step for the data center proposal.

The board next meets Feb. 17 and March 3. It could take longer than a month for the data center development agreement to reach the board, Budd told Planet Detroit Thursday.

“As soon as this agreement is processed and ready to roll, it will go to the township board,” she said.

If it’s approved, then Panattoni will come back to the planning commission for a final site plan, she said.

Lawyer says township obligated to OK data center

The data center has received significant pushback, with 1,400 people signing a petition that says the project could impact the power grid, water resources, and utility bills.

Planning commissioners raised several concerns Wednesday night over potential noise from the facility’s backup generators, the design of a DTE Energy substation for the facility, and whether the data center may look to expand in the future.

During public comment, representatives for economic development groups said the project is a unique opportunity to diversify the township’s tax base.

The proposed data center is projected to be the largest taxpayer in Van Buren Township and one of the top five taxpayers in Wayne County, Adam Kramer, head of North American data centers for project developer Panattoni, said during Wednesday’s presentation. He did not provide specific numbers for the tax revenue.

Trey Brice, an attorney for the developer, spoke twice during Wednesday night’s hearing, and said the project is an easy call for the commissioners because the data center is a “by right” use in the zoning districts where it would be located. The township zoning ordinance and Michigan’s Zoning Enabling Act require its approval, he said.

Saline Township, in neighboring Washtenaw County, was hit with a lawsuit alleging exclusionary zoning in September after the township board denied the rezoning needed for Oracle and OpenAI’s 1.4 GW data center.

Data center bigger than what zoning envisions, commenter says

Laura Kurkowski said a data center of Project Cannoli’s size is far larger than anything Van Buren Township’s zoning rules envisioned, saying it could use more energy than 700,000 homes.

“Scale matters, intensity matters, community impact matters,” she said. “There is nuance here that can’t be denied.”

The facility could strain the electrical grid, while coolers and backup generators could generate noise, she said.

The data center will use roughly 1 GW of electricity and around 2 million to 3.6 million gallons of water a day, according to the township’s frequently asked questions document. It will occupy 282 acres of property and fill in 10 acres of wetlands, with 130 acres remaining undeveloped, the document states.

The proposed data center site is owned by Triple Creek Associates LLC, according to township documents.

Budd, the township treasurer, told Planet Detroit it’s her understanding the property will be bought by the data center’s end user pending approval of the project. The data center’s end user has not been identified.

Panattoni’s Kramer has not identified the data center client, which he’s previously said is a Fortune 50 company.

Kramer previously told Planet Detroit the development includes three data center buildings, two with air cooling and one with water cooling.

Josh Capps, Panattoni’s director of data center delivery, told the planning commission the project’s 156 diesel backup generators will be tested once a month for 15 minutes. They will be tested two at a time during daytime hours, he said.

Commissioner Pahle asked developers if the facility has any plans to expand.

“We’re here for a 1 GW facility,” Kramer said, adding that the facility is being built with the future in mind.

At the end of the meeting, Commissioner Grant unsuccessfully lobbied others on the commission to postpone a vote on the project. Grant previously raised concerns about a DTE substation that would be approved under a separate application. 

Once the data center passes the preliminary approval, it’s a done deal, Grant said. The commission has tabled smaller developments in the past to seek more information, he added.

“It’s a big decision; it’s going to impact a lot of people.”

Editor’s note: This story has been updated with more information from Van Buren Township Treasurer Sharry Budd on the township’s process for considering the data center proposal and the potential sale of the data center property.

Dustin Blitchok contributed to this report.

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