PowerHouse Pacific Data Center project is a hyperscale campus under development in Sterling, Virginia, within Loudoun County’s “Data Center Alley.” The 265 MW data facility spearheaded by PowerHouse Data Centers – a division of American Real Estate Partners (AREP), and Harrison Street is also as one of the region’s largest expansions. The data center consists of three buildings totaling to about 1.2 million sf, in addition to a 2-acre power substation. It aims for completion by late 2026 to early 2027.
PowerHouse Pacific Data Center Project Factsheet
Project name: PowerHouse Pacific
Developer: PowerHouse Data Centers
Location: Sterling, Loudoun County, Virginia (Pacific Boulevard site, former AOL campus area)
Site area: 43 acres
Buildings: Planned 3 buildings (three-story). 1.1 million sq ft total (24 data halls across buildings per listings)
Capacity: 265 MW
Construction Start Date: Fall 2024
Expected Completion Date: Late 2026 – Early 2027
Partnerships: AREP-Harrison Street in a $1 billion JV
Contractors: Dominion Energy, E.E. Reed Construction
Demolition of former AOL headquarters: Started October 2023. Finished by early 2024
Construction of power substation by Dominion Energy: Summer 2024
Expected Power Delivery Date: Q3 2026
More on the Data Center Project in Virginia
PowerHouse Data Centers, an American Real Estate Partners affiliate, begun the project with the demolition of a former AOL headquarters in Sterling, Virginia, where it is putting up the new PowerHouse Pacific Data Center campus. According to Data Center Frontier, the corporation, in collaboration with Harrison Street, purchased the 43-acre land for $136 million in 2021.
On-site demolition was completed by early 2024, allowing for the construction of a power substation by Dominion Energy to begin. The power station was completed in Summer 2024. Dominion Energy is also spearheading the completion of the 2.6 GW Coastal Virginia Offshore Wind project which expects completion by late 2026. The wind farm off the coast of Virginia Beach is about 60% complete as of September 2025.
Two parking garages, three office buildings, one main hub, and a pedestrian bridge are now on the site.
Additionally, construction at the data center site in Virginia began in Fall 2024, with completion scheduled for 2026/2027. E.E. Reed Construction, a general contractor, was also involved in the PowerHouse Pacific Data Center’s site demolition and site-preparation phases.
Outlook on the PowerHouse Pacific Data Center Project in Virginia
PowerHouse Pacific Data Center is located off Pacific Boulevard, about 30 miles from Washington, D.C. This is about 5 miles from Dulles International Airport. It is also lesser than 3 miles from the joint venture’s first data center project in the area, the 265,580-square-foot ABX-1, which CyrusOne has leased for a 30-year tenure.
These two facilities are part of a $1 billion investment in Northern Virginia to build 2.1 million sq ft of data center space. CyrusOne is also undertaking the construction of a 190MW data center project in Bosque County, Texas.
According to a recent CBRE research, data center supply in key markets increased by 12% in the first half of 2023, with an all-time high construction backlog for the asset type of 2,288 MW, indicating a 25% year-over-year growth.
Also from the same source, Northern Virginia has been the best-performing market in the industry, with a vacancy rate of 0.9 per cent. Furthermore, the region continues to draw new investors as US States scramble for data center investment dollars as seen by Digital Realty’s recent $1.5 billion joint venture agreement with TPG Real Estate Partners for three local data centers.
