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UPDATE: Deep Green withdraws Lansing data center application

The proposed Deep Green facility has sparked debate among residents concerned about the environment and city leaders who highlight the financial benefits.
UPDATE: Deep Green withdraws Lansing data center application
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LANSING, Mich — UPDATE: APRIL 6, 2026, 10PM

Deep Green has withdrawn its plan to build a data center in downtown Lansing, canceling the project hours before the Lansing City Council was scheduled to vote on selling and rezoning the land.

About 100 people signed up for public comment at the Lansing City Council meeting Monday night, though only a fraction showed up to discuss the data center plan.

WATCH: NEIGHBORS REACT AS DEEP GREEN WITHDRAWS LANSING DATA CENTER APPLICATION

Neighbors react after Deep Green withdraws Lansing data center application

"Very relieved that it was pulled out," one resident said.

"Today we won," another resident said.

Lansing City Councilmember Deyanira Nevarez-Martinez explained she would have voted against the proposal had the vote taken place.

"For me this came down to a fundamental planning question: Do I believe a power plant belongs in downtown Lansing? My professional opinion is no," Nevarez-Martinez said.

Nevarez-Martinez added that she submitted a resolution that would ban data centers from commercial and downtown commercial districts. She believes this will provide more safeguards if a data center were to come to the city.

"I understand the need for data centers but I also understand the need for us to be able to regulate them," Nevarez-Martinez said.

Still, some residents were not pleased to see council members in favor of data centers.

"Have you learned your lesson? Are you ready to listen to the people?... Do we need a different council that will listen to the people?" a resident said.

Others are asking neighbors to keep speaking out.

"Our voices matter and were really powerful and so now is the time to be like feeling that power and stepping into it now more than ever because there are going to be more data centers that try and come to our city," a resident said.

Mayor Andy Schor was asked to clarify what the withdrawal meant. He said if Deep Green were to propose the data center again, the company would have to start its proposal from scratch.

PREVIOUS STORY

Lansing city officials confirmed that Deep Green has withdrawn its application for a proposed Data Center in Lansing.

The news comes ahead of what was expected to be a vote Monday form Lansing City Council on the proposed $120 million data center downtown, a project that has sparked months of debate among residents and city leaders.

The proposed site sits on less than three acres of parking lots along Kalamazoo Street between Cedar and Larch streets.

Supporters, including Mayor Andy Schor and local business leaders, point to the financial benefits of the development. Deep Green said it would create 50 construction and operations jobs, though company officials noted that number may end up being inflated. BWL said the project could net an extra $1 million for the city annually, which could potentially mean $100,000 per year for Lansing housing projects.

PREVIOUS COVERAGE: Lansing data center gains support from business and labor leaders

Lansing data center gains support from business & labor leaders

However, other residents have voiced concerns about pollution, environmental impacts, and potential utility rate hikes.

One resident said they have yet to hear a convincing argument for why Lansing should welcome a data center.

PREVIOUS COVERAGE: Lansing data center sparks debate among residents

Lansing Data Center Sparks Community Debate Over $120M Project

After this news, we also received the following statement from Lansing Mayor Andy Schor:

“Deep Green has contacted the City to formally withdraw their request to buy the city parking lots and to rezone that property for a data center. I am also withdrawing the buy/sell agreement and the city request for rezoning of these parcels. As such, the City Council will no longer be considering these requests.

While I was encouraged about new and sustained revenues to the City of Lansing for services such as housing, the fire department, neighborhoods, and aesthetics, I also have heard the concerns raised by some members of the Lansing public. I have personally heard from both supporters and opponents and appreciate all those that provided constructive comments and criticisms. I also appreciate the work of Deep Green to try to do something unique in this country with heat capture, closed-loop cooling systems, and paying for needed infrastructure so there would be no rate increases, all without asking for an incentive or tax abatement from the city. And I appreciate the Councilmembers who came into this with an open mind and did their due diligence on behalf of our city. As this property will remain empty parking lots, I ask all those who suggested housing on these parcels to provide their proposals for development into housing. I agree that would be great for this area, and I look forward to seeing those proposals and financing to make this happen. I will keep fighting for economic investments of all types and focus on our future growth so that Lansing remains a great place to live, work, and visit!”

Lansing Board of Water & Light (BWL) General Manager Dick Peffley also issued the following statement:

“The Lansing Board of Water & Light (BWL) understands that Deep Green has made the decision to withdraw their proposals for both the purchase and the rezoning of the E. Kalamazoo St. and S. Cedar St. property and defer project specific questions to them. We believe in the benefits this project would bring to the City of Lansing and our customers, including the benefit to our future hot water customers and related emissions reductions, as well as the annual $120,000 donation to Pennies for Power to help customers who are struggling.

“We strongly value supporting the economic development of the region and working with new and growing businesses in our service territory. The BWL continues to stay focused on providing safe, reliable and affordable utility services while supporting the community we serve.”

Deep Green today released the following statement regarding its proposed downtown Lansing data center project:

"Tonight's Lansing City Council meeting will not include a vote on our proposed data center, and we want to be clear: our commitment to building data centers the right way has never been stronger. We are confident that Michigan is a place that values responsible development, and we continue to work with local partners and communities in the region.

"We are fully energized in our mission to build the first data center of its kind in the United States, one that delivers advanced computing power while capturing and reusing waste heat for the benefit of the communities where we operate. This is the future of data center technology, where economic growth and environmental responsibility must go hand in hand,” said Deep Green CEO Mark Lee.

Stay tuned for coverage throughout the night on this developing news.

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