In lieu of a formal groundbreaking ceremony following the deadly July 28 shooting at Blackstone Inc.’s New York City headquarters, QTS – a Blackstone portfolio company – has instead issued a formal announcement of its new data center campus planned for Cedar Rapids.
A groundbreaking ceremony was originally planned for July 29 at the data center site in the Big Cedar Industrial Center at 6200 76th Ave. SW, a 1,391-acre commercial park owned by Alliant Energy.
The project is estimated to have an overall investment of $10 billion over the course of its development, placing it among the largest economic development initiatives in Iowa’s history and the largest in Cedar Rapids’.
“This facility represents a powerful endorsement of Iowa, our communities, and our potential,” Gov. Reynolds said in a release. “As the largest investment in our state’s history, this data center campus is a catalyst not only for prosperity in the present, but for a better and brighter future. We’re proud to begin building that future with QTS, one of the most innovative companies in the world.”
The data center campus will support the construction of seven buildings on 612 acres within the Big Cedar Industrial Center. The project is being developed in partnership with the city of Cedar Rapids and is expected to create more than 2,000 construction and permanent jobs, a release from the company stated.
“QTS represents a new era for Cedar Rapids – one defined by innovation, investment, and bold possibilities. This project not only brings world-class infrastructure to our community – it is the next big chapter in our long and proud story,” Cedar Rapids Mayor Tiffany O’Donnell said.
Working with Alliant Energy, the campus will use carbon-free energy sources and innovative engineering to reduce environmental impact, including QTS’s water-free cooling technology. Once fully operational, the campus is expected to conserve about 4 billion gallons of water annually compared with data centers that use evaporative cooling.
President and CEO of Alliant Energy Lisa Barton said the company’s partnership on the QTS data center is evidence of Alliant’s reliability in delivering energy solutions that support economic growth and innovation.
“This project is a tangible example of the commitments we’ve made in our long-term planning and partnership with ITC Midwest, and we’re happy to help bring this opportunity to life,” she said.
QTS said it plans to contribute up to $18 million to the city-owned Community Betterment Fund and invest in other local nonprofit organizations. Additionally, the company is partnering with the Cedar Rapids ReLeaf program and Monarch Research to contribute $100,000 annually over five years to replace a total of 20,000 trees for private residences that lost their tree canopy during the 2020 derecho.
Co-CEOs of QTS Tag Greason and David Robey said it’s all part of being a good neighbor.
“We chose Cedar Rapids for its strong infrastructure, skilled workforce, and forward-thinking community,” Mr. Greason and Mr. Robey said. “As AI continues to transform industries, the need for secure and scalable infrastructure has never been more critical. This project reflects Iowa’s leadership in embracing the future of technology, and we’re proud to invest in a state that prioritizes innovation, sustainability, and community partnership.”
