Prologis Advances Major Data Center Plans in South San Jose

The company Prologis has set its sights on 5977 Silver Creek Valley Road for a substantial data center project. The vacant site in South San Jose offers strong access to utilities and a skilled local workforce ready for such developments.

Plans call for a multi-level building exceeding 500,000 square feet in total interior space. At least 30,000 square feet would serve as office space while the remainder houses the servers and equipment essential for data processing and storage.

The facility would draw up to 99 megawatts of power. Developers intend to build an on-site substation near the existing PG&E one just three miles away, plus backup generation systems. Water needs would match those of roughly 40 households, with commitments to limit effects on nearby areas.

Early designs show a functional, blocky three-story structure in grey and white tones. Landscaping and facade details aim to soften the overall appearance despite the emphasis on practicality. Construction could wrap up within about two years if approvals come through.

This project underscores San Jose's ongoing appeal to major tech investors. It promises to expand the region's capacity for advanced computing while creating opportunities in construction and operations.

Source: SF YIMBY

HITT Contracting Breaks Ground on Microsoft Alviso Datacenter Campus in San Jose

HITT Contracting has broken ground on the next phase of Microsoft’s Alviso datacenter campus in San Jose. The project will deliver 48 megawatts of critical capacity, including co-location facilities and support space, to meet rising demand for cloud services, artificial intelligence, and digital infrastructure. Completion remains targeted for 2028.

This second phase builds on earlier site work and strengthens San Jose’s position in supporting the computing resources that power modern business and innovation across the region and the country. The greenfield development adds meaningful scale to the existing technology ecosystem while addressing the infrastructure needs that continue to grow with digital transformation.

Construction activity will generate opportunities for skilled trades workers throughout the build, while the finished campus will bring full-time operational roles once online. The investment signals ongoing confidence in San Jose as a location for large-scale technology projects and will support local economic activity through direct employment and related business activity.

Partners have framed the campus as essential infrastructure for the digital economy that also delivers lasting community value through sustained collaboration and engagement. The effort reflects a shared commitment to advancing technological capacity while contributing positively to the areas where these facilities operate

San Jose's Energy Surge: Doubling Power Capacity for Data Center Boom

San Jose is preparing to double its current power usage with two gigawatts of new capacity arriving over the next five years. This expansion targets areas ripe for development, including greenfield sites and empty warehouses ready for transformation. PG&E is committing $2.4 billion to upgrade infrastructure, ensuring reliable energy delivery that supports rapid growth in the tech sector.

Data centers emerge as a key focus, with city leaders highlighting their potential to benefit everyone. These facilities could generate utility tax revenue to fund essential services like police, fire departments, and libraries. At the same time, the added load from data centers might reduce residential utility rates by spreading infrastructure costs across a broader base, preventing hikes for existing customers.

To streamline progress, San Jose has formed a dedicated data center development team. This group guides developers through city processes, accelerating projects across the city's 180 square miles of available land. The initiative invites investment, positioning San Jose as a competitive alternative in Silicon Valley despite past challenges like high costs and power limits.

As neighboring areas like Santa Clara also enhance their capacities, the region as a whole strengthens. For residents and businesses, these developments promise jobs, economic vitality, and a forward-looking city embracing the demands of advanced technology.

Source: SVBJ

Nvidia is Building a Data Center in North San Jose

An office building in North San Jose gains new purpose as Nvidia transforms it into a data center. The company began leasing the nearly 100,000-square-foot property at 300 Holger Way late last year. Owned by a Menlo Equities affiliate, the site undergoes exterior renovations now, with full data center work set to start in December 2026 and finish by July 2027.

This move aligns with the rising demand for AI infrastructure across the Bay Area. Data centers form the backbone for advanced computing, and Nvidia's expansion highlights San Jose's role in this sector. Recent deals nearby include a $97 million purchase of a data center in Santa Clara and plans for mixed-use development with a data center in Downtown San Jose.

Operations at the facility will run around the clock every day, including holidays. Security measures feature on-site staff, cameras, and badge-only access for authorized personnel. The setup ensures smooth integration with the neighborhood through adherence to local codes on noise, lighting, and environmental standards.

Nvidia's commitment also extends beyond this project, with recent acquisitions of office space in Santa Clara for further expansion.

Source: TheRealDeal

Two More Data Centers Coming to North San Jose

The Trimble Business Area stands to gain a major boost with Goodman Group's recent acquisition of a 46-acre site for $200 million. The global firm plans to develop two data centers on the property at 350 and 370 West Trimble Road, creating the Goodman Innovation Center San Jose. Set to deliver 414,000 square feet of space and 97.3 megawatts of power by 2028, this project positions the city as a key player in the expanding digital infrastructure sector. Existing R&D buildings on the site, partially occupied by Lumileds, will become available for lease in October 2026, offering over 500,000 square feet for new tenants.

The development aligns with San Jose's role as a top hub for data centers in Silicon Valley. Despite challenges like power constraints and high costs, initiatives like this one demonstrate the area's resilience and appeal to international developers. Goodman Group, known for managing logistics properties and data centers worldwide, acquired the site from an affiliate of LBA Realty, which had earlier proposed a smaller data center there. The location's proximity to a Microsoft-owned parcel with its own data center plans further enhances the region's tech ecosystem.

Source: SVBJ

Park Habitat Brings Housing and Innovation to Downtown San Jose

A revised vision for Downtown San Jose emerges with the proposed Park Habitat development at 180 Park Ave., where developer Westbank shifts from an office tower to a mixed-use project featuring 391 housing units alongside a data center. Positioned next to The Tech Interactive museum, this initiative promises to blend residential living with cutting-edge technology, potentially allowing for museum expansion. The setup captures waste heat from the data center to supply low-cost, low-carbon energy to the homes, showcasing smart sustainability in the heart of the city.

This project aligns with efforts to create vibrant, walkable urban spaces, placing residents near Plaza de Cesar Chavez, cultural centers, and transit options. By intermixing housing and tech infrastructure, Park Habitat contributes to a dynamic downtown environment that supports both daily life and economic growth. The added housing aims to increase the nighttime population, fostering a lively atmosphere for shops, restaurants, and events throughout the area.

As demand for data centers rises across the Bay Area, this development strengthens San Jose's position as a hub for innovation while addressing housing needs. With PG&E adapting to growing energy requirements, projects like Park Habitat demonstrate forward-thinking solutions that benefit the community. Residents and visitors can look forward to a more connected and efficient urban landscape, enhancing the appeal of Downtown San Jose as a place to live, work, and explore.

Source: SiliconValley.com

PG&E Partnership Fuels San Jose Data Center Boom and Job Surge

San Jose has forged a powerful alliance with PG&E to strengthen the city's electrical grid and meet the soaring energy demands from data centers. This collaboration positions San Jose as the West Coast's leading hub for data centers, with PG&E committing to upgrades that support 2,000 megawatts of new power demand. Such enhancements will triple the city's energy capacity, drawing in global companies eager to invest in a reliable infrastructure. This move highlights San Jose's proactive stance in fostering technological advancement and economic vitality.

The partnership includes a substantial $2.6 billion investment from PG&E into existing and new infrastructure projects. These efforts will enable immediate access to 250 megawatts of power for developers, accelerating construction and operations. One standout initiative is the Westbank net-zero community in Downtown San Jose, which integrates three data centers with over 4,000 residential units. This project features a heat-capture system that reduces energy costs for nearby residents and promotes low-carbon heating for environmental gains.

Beyond infrastructure, the deal promises significant employment opportunities, with projections of nearly 200,000 new jobs, primarily in construction. These positions will bolster the local workforce and contribute to broader prosperity. PG&E anticipates that the increased demand from data centers could lower monthly electricity bills for customers by 1% to 2% per gigawatt supplied, making energy slightly more affordable while generating tax revenue for city services.

Source: SVBJ

San Jose’s Downtown Set for Transformation with Data Center and Housing Projects

San Jose’s Downtown is on the cusp of a transformation that could redefine its landscape and economic future. City officials are enthusiastic about two major projects proposed by Westbank, blending data centers with housing developments to deliver a powerful one-two punch of innovation and growth. The San Jose City Council has taken decisive action, directing building officials to prioritize these initiatives due to their potential to spark economic vitality and inspire further development. This bold move underscores the city’s determination to cement its place as a thriving hub in Silicon Valley.

The financial benefits alone are enough to turn heads. A proposed 99 MW data center could bring in between $3.5 million and $6.4 million in taxes and fees each year, creating a reliable revenue stream for San Jose. But the impact goes beyond dollars and cents—these projects are expected to generate jobs and draw new businesses to Downtown San Jose. Andrew Jacobson from Westbank captured the brilliance of this approach perfectly: “Housing is very challenged in San Jose, but data centers are not. When you couple those together, you have viable projects.” This clever pairing could ease the city’s housing crunch while strengthening its tech backbone.

Sustainability is also a key piece of the puzzle. The projects include plans for a district energy system, which could reduce energy costs for other developers in the area. This isn’t just smart for Westbank’s bottom line—it’s a gift to future Downtown growth. To sweeten the deal, the city has extended economic incentive programs, like the downtown high-rise initiative that waives construction taxes and fees. These efforts show San Jose’s commitment to overcoming market hurdles and keeping the momentum going for bold, forward-thinking development.

Downtown San Jose stands to gain more than just new skyline features. By merging cutting-edge technology with practical housing solutions, the city is laying the groundwork to tackle some of its toughest challenges head-on.

Source: The Mercury News