Demonstrating the rising significance of both digital infrastructure and clean energy, Town Lane and PowerHouse Data Centers have announced the acquisition of 122 acres of land in Charlotte, North Carolina. This joint venture will establish a data center campus, PowerHouse Charlotte, which will be spread over 2.5 million square feet across five data center shells and 300 megawatts (MW) of secured critical power, potentially expanding up to 500 MW.

PowerHouse Data Centers, a division of American Real Estate Partners (AREP), specializes in developing data centers that prioritize energy efficiency, scalability, and strategic locations near major tech hubs. The company’s ability to secure large amounts of critical power makes it a sought-after player in the data center market. Town Lane is a real estate investment management firm known for its forward-thinking investments in high-demand sectors like digital infrastructure. Their partnership with PowerHouse aligns two companies deeply committed to meeting the growing demand for next-generation hyperscale data centers. 

Town Lane and PowerHouse both bring complementary strengths to the table. As a developer, PowerHouse has proven expertise in the technical aspects of data center development and power procurement, while Town Lane’s extensive real estate experience ensures that the land and location choices are strategic and future-proof.

“We recognize the ongoing demand for digital infrastructure and that Charlotte has emerged as a compelling data center market given its access to renewable power and connectivity,” said Tyler Henritze, Founder & Managing Partner of Town Lane. “This is why we are excited to partner with an experienced developer like PowerHouse, who has strong, proven technical and power procurement capabilities, to develop this site.”

The Site and Market Potential

PowerHouse Charlotte will be located just under 10 miles from downtown Charlotte, giving it prime access to the city’s growing tech and business sectors. With convenient proximity to major highways like I-485 and Highway 49, the location provides seamless connectivity for potential users. This location positions the site to serve a variety of cloud service providers (CSPs) and hyperscale customers seeking large-scale, reliable, and energy-efficient infrastructure.

The site is ideally located with near-term power already secured, offering unparalleled opportunity, connectivity, and access to carbon-free power.

Doug Fleit, CEO & Co-founder of PowerHouse

The data center will initially have 15 MW of bridging power available by the fourth quarter of 2026 from an existing nearby substation. However, the project’s power capabilities will expand with PowerHouse’s partnership with Duke Energy, one of the largest energy providers in the U.S. Duke Energy will construct a new substation on-site, capable of delivering up to 500 MW of power, over 50% of which will be sourced from renewable energy, predominantly nuclear.

This is critical as companies increasingly seek sustainable energy options for their data centers. PowerHouse Charlotte is positioned to meet the needs of firms looking for low-carbon energy solutions. It is a desirable choice for hyperscale companies and CSPs with pledges to reduce their carbon footprints.

Doug Fleit, CEO & Co-founder of PowerHouse, highlighted the strategic importance of the project. “We are proud to bring PowerHouse Charlotte to market with Town Lane as our partner and in lockstep with Duke Energy. The site is ideally located with near-term power already secured, offering unparalleled opportunity, connectivity, and access to carbon-free power.”

The Growing Importance of the Charlotte Market

Charlotte is rapidly emerging as a key market for data center development, driven by its accessibility to renewable power and vital connectivity infrastructure. The city’s strategic location in the Southeastern U.S. makes it a critical node for companies looking to build their digital infrastructure in the region. With a growing tech sector and a business-friendly environment, Charlotte offers significant advantages for companies like PowerHouse and Town Lane, who are working to meet the growing needs of hyperscale customers and CSPs.

Brian Katz, President & Co-founder of PowerHouse, emphasized the essential role of partnerships and location in their success. “Our deep real estate relationships are foundational to PowerHouse’s success and instrumental in our ability to rewrite the data center development playbook. We have a tremendous amount of respect for Town Lane and are thrilled to collaborate on our first project together.”

The PowerHouse Charlotte data center campus is poised to become a cornerstone of digital infrastructure development in the Southeastern U.S., offering enormous potential for hyperscale customers and CSPs. With 300 MW of secured critical power and the possibility of increasing to 500 MW, combined with sustainable energy sourcing from Duke Energy, this joint venture marks an exciting new chapter in Charlotte’s growth as a growing data center market. It also demonstrates the escalating importance of collaboration between real estate, technology, and renewable energy sectors to meet the needs of a society that’s progressively more reliant on digital technology.