Sdc Capital Partners is seeking approval for a sprawling 111-acre data center development in Belmont, Loudoun County, Virginia, a prime location in the heart of Northern Virginia’s data center alley. The proposed project, known as the Belmont Innovation Campus, is strategically situated between Belmont Ridge Road and Goose Creek, north of Luck Stone’s Leesburg quarry and south of Route 7.
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SDC Capital Partners Aims to Consolidate Zoning for Data Center Development
SDC Capital Partners has submitted a land use application to Loudoun County to rezone eight parcels within the proposed Belmont Innovation Campus. The goal is to unify the zoning under a single designation that allows for “increased data center development potential” and the creation of a “cohesive campus,” according to reports from the Washington Business Journal.
Currently, about half of the 111-acre site is already zoned for data center development by right, meaning SDC Capital Partners could build without requiring special permission from the Loudoun County Board of Supervisors. However, the remaining half is currently zoned for agricultural use, necessitating the rezoning request.
Addressing the Need for Data Center Capacity in Loudoun County
In its application, SDC Capital Partners argues that the project addresses the growing demand for data center capacity in Northern Virginia while minimizing development in less suitable areas. The company states: “There are very few remaining parcels in eastern Loudoun County that are recommended for data center development, despite growing pressure for the development of data center uses. Maximizing data center development opportunities in appropriate areas, such as the [Belmont Innovation Campus], will help to relieve development pressure in other areas that are not suited for data center development.”
Overcoming Power Capacity Challenges in the Region
The proposed Belmont Innovation Campus location faces potential challenges regarding power capacity. The local utility provider, Dominion Energy, is experiencing capacity constraints in the area. However, Dominion is actively planning new high-voltage power lines, estimated to cost up to $600 million, with expected completion around 2026. Dominion has confirmed it’s working with SDC Capital Partners and other customers to address their future energy needs.
Navigating New Data Center Development Restrictions in Loudoun County
The project also comes at a time when Loudoun County is implementing stricter regulations on data center development, particularly along Route 7. Recent measures approved by the Board of Supervisors prohibit new data centers in many areas along this major thoroughfare. The Belmont Innovation Campus location, while south of Route 7, still falls within a region undergoing significant scrutiny regarding data center development.
About SDC Capital Partners
Founded in 2017, SDC Capital Partners is a New York-based private equity firm specializing in digital infrastructure investments. The firm’s portfolio includes investments in data centers, fiber optic networks, and wireless infrastructure companies, including Sentinel Data Centers, Latin American operator Ascenty, and Arcadia Towers. The Belmont Innovation Campus represents a significant expansion of SDC Capital Partners’ footprint in the rapidly growing Northern Virginia data center market.
Conclusion: The Future of the Belmont Innovation Campus
The proposed Belmont Innovation Campus signifies the continued growth and evolution of the data center industry in Northern Virginia. While facing hurdles related to zoning and power capacity, the project highlights the ongoing demand for data center space in this critical market. The outcome of the rezoning request and Dominion Energy’s infrastructure upgrades will play a crucial role in determining the future of this ambitious development by SDC Capital Partners.