Chicago Suburb Sugar Grove Weighs Data Center Crackdown

Chicago’s western suburbs are emerging as the next frontier for data center development — and Sugar Grove is signaling it may slam the brakes before the boom fully arrives.

Village officials last week debated tightening rules on data centers, including a potential moratorium, as nearby municipalities race to either attract or restrict the energy-hungry facilities. The Chicago Tribune reported that the discussion follows Aurora’s recent adoption of strict regulations after lifting its own moratorium.

Sugar Grove’s urgency is tied to a looming project. A data center is under contract as part of The Grove, a 760-acre mixed-use development at I-88 and Route 47 that has already drawn voter backlash and political turnover. The project broke ground last year despite a nonbinding referendum urging officials to reverse course, according to the outlet.

The stakes extend beyond a single site. Nearby, Yorkville has assembled roughly 1,000 acres for a massive data center campus near a Commonwealth Edison substation, helping form what could become a dense corridor of digital infrastructure stretching across Kane and Kendall counties, according to the publication. Joliet recently approved what’s poised to be Illinois’ largest data center, while Naperville rejected a proposal outright — highlighting fragmented local responses to the sector’s rapid growth.

In Sugar Grove, the issue is less about whether data centers are coming and more about who controls their path. Under current zoning rules adopted in 2022, developers can build data centers by right in certain districts, bypassing full board approval if requirements are met. Village President Sue Stillwell argued that the framework limits oversight at a time when public skepticism is rising.

Stillwell pushed for a temporary moratorium, warning that without it, officials could be sidelined on future proposals. But trustees stopped short of endorsing a full pause, instead coalescing around requiring data centers to undergo special-use approval in limited manufacturing zones, effectively forcing public hearings and board votes.

Across Chicagoland, data centers promise tax revenue and economic development, but bring concerns over power demand, water usage, building scale and long-term impacts, according to the outlet. Aurora’s new rules, for instance, impose stricter standards on energy efficiency, noise and water use while giving elected officials final say on approvals.

— Eric Weilbacher