Arizona-based developer Vermaland, LLC has unveiled ambitious plans for a $33 billion data center industrial park in Pinal County, strategically positioned between Phoenix and Tucson. Known as the La Osa Project, this development could become the largest of its kind in the United States, spanning 3,300 acres and boasting up to 3 gigawatts of power capacity. The project aims to compete with Northern Virginia’s “Data Center Alley.” This is a hub renowned for attracting some of the biggest names in technology and cloud computing. La Osa Project is yet another indicator of the heated competition between states to attract data center investment.
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Clean Energy at the Core
A key feature of the La Osa Project is its integration of clean and reliable energy. Located within a Federally designated Qualified Opportunity Zone, the site offers investors significant tax incentives, including up to 15% capital gains reductions for long-term holdings. Vermaland envisions a hybrid power system for the La Osa Project combining solar energy, natural gas, battery storage, and grid connectivity to ensure uninterrupted operations. With more than 25,000 acres already under management and 16 solar farms totaling over 10,000 acres, Vermaland is on track to generate 2 gigawatts of clean energy. This is enough to power approximately 400,000 homes.
Perfect Timing Amid AI-Driven Growth
The announcement comes at a pivotal time for the data center industry. Across North America, data center capacity exceeded 6.35 gigawatts under construction by the end of 2024. Phoenix alone has experienced a staggering 67% growth in data center inventory, second only to Atlanta. Major technology companies are driving this surge, with Meta planning $60–65 billion in AI and data infrastructure investments for 2025. Additionally, the U.S. government’s $500 billion Stargate initiative aims to build 20 AI-focused data centers across the nation, further boosting demand for such large-scale facilities.
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Future Prospects and Environmental Considerations
Rezoning for the Vermaland La Osa Project is currently underway, with county approval targeted for early 2026. Beyond hosting cutting-edge data centers, the development will include gas power plants and battery storage facilities. Furthermore, nearly 983 acres of preserved wildlife corridors and floodplain ecosystems. Notably, the planned capacity could surpass the current total data center capacity of the Phoenix metro area. This is potentially more than double its infrastructure. This scale reflects Arizona’s growing ambition to establish itself as a leader in the digital economy, positioning the La Osa Project as a transformative force in U.S. technology and energy landscapes.
Project Overview
Developer: Vermaland, LLC.
Location: Pinal County, Arizona, between Phoenix and Tucson.
Size: 3,300 acres.
Investment: $33 billion.
Capacity: Up to 3 gigawatts of power for data centers.
Energy Mix: Solar, natural gas, battery storage, and grid connection.
Special Zone: Federally designated Qualified Opportunity Zone (tax incentives).
Purpose: Massive AI-driven and cloud data center hub.
Timeline: Rezoning expected by early 2026.
