Getting your
Trinity Audioplayer ready...SAN JOSE — A data center could sprout on a big chunk of empty land at a prime site in San Jose, a fresh example of how real estate firms are seeking opportunities to develop the tech-oriented hubs.
Prologis aims to develop the data center at 5977 Silver Creek Valley Road in south San Jose, according to a proposal the company filed with city planners.
The real estate giant has proposed a three-story data center that would total 516,000 square feet, a summary of the Prologis filing shows. The overall square footage includes 30,000 square feet of office space, according to the project plans.
The site is one of many properties that San Francisco-based Prologis came to own after it bought Duke Realty in 2022 for $23 billion.
In 2021, a Duke Realty affiliate paid $40.2 million for the 15-acre site where the data center would be built. The seller in that all-cash deal was famed Palo Alto-based real estate firm Peery Arrillaga.
The electricity capacity of the data center is 99 megawatts, according to Prologis. The tech computing hub will operate with an onsite substation and a dedicated backup generation facility located in a dedicated generator yard, Prologis stated.
The site of the proposed data center is about 2.5 miles away from a PG&E substation at 6402 Santa Teresa Blvd. in San Jose.
Oakland-based PG&E, by happenstance, recently doubled the capacity of that south San Jose substation to 80 megawatts and has configured the electricity hub so it can be readily expanded beyond its current capacity.
PG&E plans to expand substation capacity beyond the project’s needs to serve additional customer needs, improving overall grid reliability for the surrounding community, according to information that Prologis provided to this news organization.
The real estate firm has also committed to paying for some of the power-related infrastructure required for the data center, the company stated.
“Prologis will fund the transmission interconnection work needed for this project upfront,” the company said. “The project will include a second, independently routed transmission line funded by Prologis, which will enhance system reliability and reduce reliance on backup generation.”
The real estate firm said it intends to enroll in San Jose Total Clean Energy programs or a similar program that encourages carbon-free power consumption.
Annual water demand is expected to equate to 40 households. Irrigation requirements will be the primary driver of water use, followed by smaller levels of demand from data hall dehumidifiers and office activities.
Prologis believes this is a good location for a data center in part because it’s in an industrial center and is proximate to existing power hubs.
That can enable energy to be readily delivered to the power center without big increases in electricity transmission systems elsewhere, Prologis suggested.
Prologis hopes that its construction game plan will minimize the data center development’s impact on the community.
“The full buildout of the project as currently planned would take about two years, completed in phases,” Prologis stated.