Joliet Approves Data Center Despite Backlash

Joliet officials signed off on one of the largest data center projects in the Chicago area, approving a sprawling $20 billion, 795-acre campus, even as residents packed public hearings to warn of its potential impacts.

The Joliet City Council voted 8-1 Thursday to approve preliminary plans and an annexation agreement for the Hillwood Investment Properties-led development in unincorporated Jackson Township, the Chicago Tribune reported. The project, dubbed the Joliet Technology Center, could ultimately include 24 buildings and consume up to 1.8 gigawatts of power at full buildout.

Council Member Suzanna Ibarra cast the lone dissenting vote, citing longstanding inequities in her district, which borders the proposed site.

“My loyalty is to the residents of District 5, first and always,” Ibarra said at the meeting, adding that her community has historically absorbed a disproportionate share of industrial development without sufficient resources or protections.

The Dallas-based developer pitched the project as a transformative economic engine. Hillwood and its partner, Virginia-based PowerHouse Data Centers, estimate the project will generate up to 10,000 construction jobs, 700 permanent positions and $2.1 billion in property tax revenue over 30 years, according to the outlet.

Local officials highlighted the downstream benefits. Mayor Terry D’Arcy said Joliet Township High School District could see a $677 million boost in tax revenue, while Joliet Junior College stands to gain $76 million over the same period.

“There’s a lot of good things that will come because of this,” D’Arcy said at the meeting.

The vote followed hours of contentious public testimony across multiple hearings, where residents raised concerns about noise pollution, water consumption and the strain on the regional power grid. The project’s massive energy demand alone would rival that of a mid-sized city, according to the publication.

Hillwood executives sought to allay some fears, noting the campus will use closed-loop cooling systems to limit water usage and that officials are evaluating quieter backup generator options. Potential tenants could include major hyperscalers such as Google, Amazon, Meta and Oracle, according to the developer.

Council members emphasized their approval came with conditions. Councilman Juan Moreno said the city intends to closely monitor the project as it moves forward.

“My support comes with expectations,” Moreno said. “Our residents deserve to see the upside, not just the impact.”

The development would be built in four phases, each anchored by its own substation, along with a switching yard connecting to high-capacity transmission lines. Construction could begin as early as late 2026 and take up to five years to complete.— Eric Weilbacher