By 1808Delaware
Amazon Web Services (AWS) recently unveiled plans to establish a $2 billion data center campus in Sunbury, a key component of its broader $7.8 billion expansion in central Ohio. This substantial investment highlights the region’s growing prominence in the data center industry and is set to bring long-term economic and community benefits to one of Ohio’s fastest-growing cities.
A Prime Location for High-Tech Growth
The data center will be located at 11793 Vans Valley Road in the newly developed Sunbury Business and Technology Park. Spanning over 1,300 acres, this industrial zone was recently annexed and specially zoned to attract large-scale developments like the AWS campus.
- Size and Scope: The campus will begin with a 450,000-square-foot facility, with construction slated to start in January 2028. The first building is expected to be operational by December 2034, marking a multi-year phased development.
- Strategic Fit: The site’s location and infrastructure align with Sunbury’s economic vision of becoming a technology and logistics hub.
Generating Economic Opportunities
AWS’s investment is set to transform Sunbury’s economy, bringing new jobs, a diversified tax base, and significant financial contributions to local institutions.
Job Creation
AWS has committed to creating 50 full-time, high-paying jobs, with an annual payroll of $4.5 million. These roles are expected to range from data center operations to technical management positions, offering significant career opportunities for local residents.
Property Tax Exemptions
To attract the investment as we have previously shared here on 1808Delaware, Sunbury City Council approved a 30-year Community Reinvestment Area (CRA) agreement with the following property tax incentives:
- 87.5% tax exemption for the first 15 years.
- 75% tax exemption for the subsequent 15 years.
These incentives are balanced by AWS’s commitment to support local entities and services, ensuring community benefits alongside business growth.
Community Contributions
The project will contribute financially to several local institutions and organizations, including:
- Big Walnut Local School District: AWS’s contributions are expected to support educational programs and infrastructure.
- Delaware Area Career Center: The development aligns with the center’s focus on preparing students for careers in technology and engineering.
- BST&G Fire District: AWS will contribute to bolstering fire safety and emergency response services in the area.
- County Services: Additional funds will support various public services across Delaware County.
Central Ohio: A Growing Hub for Data Centers
AWS’s investment builds on its previous $10 billion investment in Ohio, solidifying the state’s role as a national leader in data center infrastructure. Central Ohio’s appeal to data operators stems from its strategic location, robust transportation networks, skilled workforce, and favorable economic policies.
Sunbury’s forward-thinking zoning and planning efforts have created fertile ground for investments like the AWS campus. The city’s leadership has proactively developed the Sunbury Business and Technology Park to attract high-value projects.
Energy Demands and Environmental Considerations
Data centers are notoriously energy-intensive, requiring substantial electricity to power servers, cooling systems, and backup infrastructure. AWS has entered negotiations with AEP Ohio to secure discounted electricity rates to mitigate operational costs.
- Potential Impacts: While details of the agreement remain confidential, concerns have been raised about possible cost shifts to other ratepayers to accommodate the increased demand on the grid.
- Energy Efficiency: AWS has a track record of integrating renewable energy solutions into its operations and may implement similar measures in Sunbury. These efforts align with Amazon’s corporate goal of achieving net-zero carbon emissions by 2040.
Transformative Impact on Sunbury
As one of Ohio’s fastest-growing cities, Sunbury is poised to become a player in the data center industry. The AWS project is expected to boost local infrastructure, increase demand for housing and services, and elevate the city’s regional profile.
Economic Diversification
By attracting AWS, Sunbury is successfully diversifying its tax base, reducing reliance on residential property taxes, and creating a more balanced economy.
Infrastructure Enhancements
The scale of the project will likely necessitate upgrades to local infrastructure, including roads, utilities, and public services, which will benefit both residents and businesses.
Long-Term Growth
AWS’s decision to invest in Sunbury reflects confidence in the city’s potential for sustained growth. The project is expected to encourage further investments from technology and logistics firms seeking to capitalize on the region’s strategic advantages.
Image by Kevin Seibel from Pixabay
