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ARTICLE · 07 MAY 2025

Key Legal Issues Of Data Center Development

Perkins Coie LLP
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The development of data centers involves a complex interplay of legal, regulatory, and operational considerations.

United StatesReal Estate and Construction
Jane Rueger
Jane Rueger
Camarin Madigan
Camarin Madigan
Michael C. Herrera
Michael C. Herrera
Dania Assas
Dania Assas

The development of data centers involves a complex interplay of legal, regulatory, and operational considerations. As critical infrastructure for the digital economy, data centers must navigate a wide range of legal issues to ensure compliance, mitigate risks, and protect stakeholders.

Below is an overview of the key legal challenges in data center development.

  1. Land Use and Zoning Regulations

    Selecting a site for a data center requires careful analysis of local land use and zoning laws. These regulations govern the site's suitability for industrial or commercial purposes and may impose restrictions on building height, noise levels, and energy usage. Data centers often face additional scrutiny due to their significant energy and water consumption, requiring developers to engage with local governments and communities to address and obtain the necessary permits.

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