The City of Pekin in central Illinois has rejected plans for a prospect data center campus proposal after community backlash. The construction of the 321-acre campus was slated to take shape on a former farmland. “I have made the difficult decision that the City of Pekin will not move forward with this project at this time,” Pekin’s Mayor, Mary Burress, noted at a city council meeting earlier this week.

The mayor’s announcement was greeted with jubilation as those opposing the project jubilantly celebrated. Opposition on the potential facility had been mounting since news of it began circulating last April. Moreover, the city was already entering a tentative land sale agreement with the developer, Western Hospitality Partners. The agreement concerned a 321 land parcel on the Lutticken Property.

It is a 1,000-acre “residential, commercial, and technology-focused” development between Highway 98 and Sheridan Road. However, the land was not yet sold to the developer as agreements stipulated the company had until end of this March to complete its due diligence. No zoning petitions, permits, and incentives related to the data center have been filed or approved, according to the city. Data centers are becoming fundamental across the U.S. despite the setbacks being experienced. For instance companies such as Oracle are in the spotlight over their amounting loans caused by their ambition to advance projects such as the Crusoe data center campus in Texas. 

Outlook on the Rejected Data Center Campus in Pekin

Though Western Hospitality Partners had till end of March, Mayor Burress has halted these plans by rejecting the data center campus in Pekin. One of the reasons is because the land sale would also require city council approval. “Instead, we will continue focusing on opportunities that best align with the long-term interest of our community. I want to be honest – this decision was not easy for me. Projects like this often come with potential investment, jobs, and long-term economic opportunity,” said Burress.

Moreover, she added that, “…at the same time, leadership also requires listening. Over the course of these discussions, it has become clear that many in our community have serious concerns about whether this project fits Pekin and the future we envision together.” She also noted that when a project creates such level of uncertainty and division, it is necessary to consider its ramifications and its advantages.

An opposition group, Tazewell County Data Center Opposition, currently has more than 5,000 members on Facebook. The same group had more than 2,000 members just two months ago. It also brought a petition against the development to city officials during a meeting in late January. Few details about the company are available, but Western Hospitality Partners has previously been linked to several data center projects across Kentucky, Indiana, and Pennsylvania. It has faced delays and pushback against several proposed developments.

Project Factsheet.

• Proposal title: Pekin Data center campus proposal.
• Location: Pekin, Illinois
• Type of Project: Proposed hyperscale data center campus.
• Site Area: 321 acres
• Development Location: Lutticken Property (in a 1,000 acre mixed use development site)

Timeline

• April 2025: Proposal starts going around.
• January 2026: Petition provided to the city officials by the community.
• March 2026: deadline of tentative land sale agreement developer due diligence.
• 2026: Project was officially dismissed by the city leadership.

Site & Scale

• Campus Size: 321-acre data center construction site.
• Location: Highway 98 is located in between and Sheridan Road.
• Development Area: The portion of a 1,000 acre residential, commercial, and technology oriented area.
• Past Land Use: Agricultural land.

Key Developers / Authorities / Stakeholders.

• Western Hospitality Partners – Proposed developer of the project.
• City of Pekin – Local authority in charge of land sale and development approvals.
• Mary Burress – Mayor and declared her rejection of the project.
• Tazewell County Data Center Opposition – Community organization that is against the development.

Strategic Objectives (Proposed).

• Design a massive data center campus.
• Get attractive technology to central Illinois.
• Design new long-term jobs.
• Digital infrastructure to enlarge local tax base.

Regulatory/ Community Environment.

• The sale of land was tentative.
• Approval to proceed with project had to come through the city council.
• No zoning petitions filed.
• No approved permits or incentives.

Current Status

• Rejection of the project by the City of Pekin.
• Agreement on sale of land is pending.
• Opposition of the community mentioned as a crucial factor.
• Nobody granted development approvals.