Virginia Developer Proposes 20-Megawatt Data Center at Former Star Tribune Site

A Virginia-based developer is seeking to transform a landmark industrial site in Minneapolis into a high-capacity data center, sparking a confrontation between city economic goals and neighborhood interests. Legacy Investing, based in Arlington, is currently under contract to purchase the 13-acre former Star Tribune printing plant in the North Loop to build a 20-megawatt facility.

The site has remained vacant since the Star Tribune relocated its printing operations to Des Moines, Iowa, in December 2025. While the developer moves forward with the 20-megawatt plan, the proposal has met significant resistance during community meetings. Residents of the North Loop have raised concerns regarding potential noise pollution, power grid strain, and water consumption. In response, the North Loop Neighborhood Association (NLNA) has requested delays in the approval process, arguing that the developers have not provided sufficient detailed information. David Crary, VP of the NLNA, stated that the association is "just trying to help the community understand the impact."

The Industrial Tug-of-War

The North Loop remains one of the few remaining large-scale industrial zones in Minneapolis. As the city grapples with downtown vacancies, city leaders have viewed data centers as a strategic tool to recover the municipal tax base by filling massive, empty industrial shells that are otherwise difficult to repurpose. However, this utility clashes with the neighborhood's preference for mixed-use development that integrates residential and commercial spaces.

This tension is reflected in the city's current regulatory environment. The Minneapolis City Council recently approved a moratorium on new data center development, reported as lasting five to six months. Notably, this pause applies to larger projects, while facilities under 350,000 square feet in the downtown core are exempt from the restriction.

Economic Recovery vs. Urban Planning

The project represents a broader clash between urban economic recovery strategies and community-led planning. The outcome of this proposal will likely set a critical precedent for how Minneapolis handles the conversion of legacy industrial sites that sit adjacent to residential neighborhoods. The city must balance the immediate fiscal benefit of a data center against the long-term vision of a livable, mixed-use urban core.

The Path Forward

Whether the project proceeds in its current form remains uncertain. A spokesperson for the Mayor indicated that while the administration is open to a data center as part of the site's future, it cannot be the sole use of the property, noting that "a bigger vision with multiple uses is needed for the Star Tribune site." Observers will be watching to see if Legacy Investing modifies the proposal to include mixed-use elements or if the community's push for more transparency leads to further delays.