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What is a Data Center and Why Are We Concerned? 

A data center is a large industrial facility that houses thousands of computer servers used to store, process, and transmit digital information for corporations, cloud services, artificial intelligence systems, and financial platforms. While often described as “invisible infrastructure,” data centers are physically massive buildings that operate 24 hours a day and require substantial electricity and water to cool their equipment. In regions like the San Gabriel Valley — already burdened by warehouse expansion, industrial zoning, groundwater stress, and cumulative air pollution — proposed data centers raise serious questions about energy demand, water consumption, land use compatibility, emergency backup generation, and long-term community impacts. The concern is not about technology itself, but about whether large-scale industrial facilities are being sited and approved without transparent environmental review, meaningful public input, and a full accounting of cumulative impacts on working-class communities.

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Citywide Zoning Code Amendment (Data Center Enabling Ordinance)

Project Type: Policy amendment
Status: Under consideration

The City is pursuing a Zoning Code Amendment to formally define and regulate data centers as a permitted or conditionally permitted use.

This amendment:

  • Establishes development standards

  • Allows future project-level environmental review

  • Enables multiple data center proposals citywide

Environmental review discussions indicate that cumulative impacts would be addressed at the project stage rather than at the policy adoption stage.

Madrid Middle School Site – Industrial Redevelopment (Potential Data Center Component)

Project Type: Complete tear-down and new industrial development
Status: Early-stage internal discussions; feasibility coordination

Developer / Representation

Internal City communications reference:

  • CNC Engineering (Dev Birla)

  • The AG Group (Ayahlushim Getachew)

  • City of Industry staff including:

    • Bing Hyun

    • Joshua Nelson

    • Laura Hudson

The specific developer entity is not clearly identified in the visible excerpts, but emails indicate interest in high-load industrial use.

Proposal Description

Internal correspondence states:

  • A complete demolition of the existing site

  • New industrial development

  • Interest in City-provided electricity

  • Possible high-power users, including data centers

  • Coordination regarding fiber and electricity

Infrastructure Considerations

Although no specific megawatt figure is identified in the excerpts:

  • Discussions reference high-load planning

  • Substation capacity and distribution upgrades are relevant

  • Substation expansion timeline (if needed): 5 to 7 years

Environmental Considerations

  • Demolition and industrial conversion of former school site

  • Potential high electricity demand

  • Fiber and grid infrastructure expansion

  • Unknown cooling water requirements

  • Cumulative energy demand when considered with other projects

Puente Hills Mall Redevelopment (Twin Pines / 1600 Azusa Avenue)

Location: 1600 Azusa Avenue
Applicant: Puente Hills Land Venture, LLC
Consultant: Psomas
Status: Discretionary entitlement application submitted

Project Structure

The Puente Hills redevelopment includes two primary options:

Option 1

  • Two warehouse buildings totaling 1,613,120 square feet

  • Up to 150,000 square feet may be replaced with a 10 MW data center

  • 49-foot building height

  • 24-hour operations

Option 2

  • One warehouse building (813,540 square feet)

  • 400,000 square feet commercial development

  • Optional 150,000 square foot, 10 MW data center

Infrastructure

  • Proposed interconnection with Southern California Edison / Industry Public Utility

  • On-site infrastructure upgrades required

  • Electrical demand identified at 10 megawatts

Environmental Considerations

  • Demolition of more than 1.2 million square feet of existing structures

  • Industrial conversion of former regional retail center

  • High electricity demand

  • Potential greenhouse gas impacts

  • Traffic and warehouse logistics impacts

  • Water demand and cooling requirements

  • Cumulative impacts when combined with other high-load projects

Grand Crossing South – IBC Building 10 (Raeden Proposal)

Location: 110 Marcellin Drive
Project Reference: “Raeden Proposal for Data Center – IBC Building 10”
Status: Letter of Intent stage; utility feasibility discussions underway

Developer / Applicant

  • Tenant: Raeden, Inc. (or affiliate)

  • Property Owner: Majestic Realty Co.

  • Brokerage: Jones Lang LaSalle (JLL)

  • Majestic Representatives: Hank Darnell (SVP), Cameron Pybus (VP)

  • City Officials Involved in Communications:

    • Joshua Nelson (City Manager)

    • Bing Hyun (Assistant City Manager)

    • Mathew Hudson

    • Laura Hudson

  • Utility Engineering Consultant: CNC Engineering (Dev Birla)

Proposal Description

Raeden submitted a Letter of Intent to lease approximately 185,700–187,700 square feet within Building 10 at Grand Crossing South for use as a data center facility.

The proposal includes:

  • 30 megawatts (MW) of electrical load requested from the Waddingham Substation

  • 24/7 operations

  • On-site backup natural gas generators

  • Approximately 2,550 tons of condenser water capacity for cooling

  • Possible behind-the-meter natural gas generation

Infrastructure Requirements

Internal communications indicate:

  • Waddingham Substation currently has approximately 40 MVA capacity

  • Estimated current load is approximately 8 MVA

  • Approximately 30 MVA could potentially be accommodated over time

  • Expansion of the substation to 80 MVA would require:

    • Southern California Edison (SCE) studies and approvals

    • Environmental review (EIR or Negative Declaration)

    • Los Angeles County Public Works permits

    • Transformer procurement with long lead times

    • Estimated timeline: 5 to 7 years

Environmental Considerations

  • High continuous electricity demand (30 MW)

  • On-site natural gas backup generation (localized air emissions)

  • Significant cooling water demand

  • Off-site distribution infrastructure upgrades

  • Long-term cumulative grid impacts

Pending Data Center Projects

Read the Public Records we have obtained


The summary below consolidates available information from public records and internal communications regarding data center–related proposals currently under consideration or discussion within the City of Industry.

The information below was last updated on 2/27/26
 

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