Data center proposed for Decatur Township wins first step toward approval

Dozens of Decatur Township residents gathered outside the City-County Building Thursday, urging rezoning staff to reject a proposed 130-acre data center on the southwest side of Marion County.

But later that afternoon, the Metropolitan Development Commission’s hearing examiner recommended approval of the project — advancing the project despite concerns from nearby homeowners.

Seattle-based developer Sabey, which operates data centers throughout the country, wants to build its largest campus to date in the township. Company representatives have described Sabey as a smaller alternative to tech giants like Google and Meta, which have secured major data center developments elsewhere in Indiana.

At the hearing, the room was divided between Decatur residents who largely opposed the project and union trade workers, who came to support the project and the labor it would bring. 

Township residents have argued that the company used a procedural path that limited public scrutiny. Instead of pursuing a full rezoning request for the property, Sabey filed for variances of use. A request for variances proposal does not automatically go before the Indianapolis City-County Council, which can “call down” rezonings for a public vote. In September, the threat of a full-council vote appeared to cause Google to withdraw a contested rezoning proposal for a data center in Franklin Township.
 

Pat Andrews, chair of the Decatur Township Civic League’s land use committee, said she has “never, ever” seen a variance filed for a project like the size of the Sabey campus.

Andrews, who has lived in Decatur Township for almost 40 years, said city leadership, including Mayor Joe Hogsett, has failed communities in Indianapolis by not pushing for an ordinance governing how to zone data centers.

Without a specific zoning designation for facilities that house large-scale computer servers, it’s up to communities, she said, to prove that they are different from other types of industries the codes are written for.

“This is a new beast,” Andrew said. “This leaves the community in jeopardy.” 

Representatives for Sabey made their case during the hearing that they worked with the community on commitments, including paying all energy-related costs to operate the center. They have also won over the support of groups including Central Indiana Building Trades, Central Midwest Carpenters Unions, the Indy Chamber and power company AES Indiana. 

The hearing examiner’s recommendation now heads to the full Metropolitan Development Commission for a final decision.

Farrah Anderson is an investigative health reporter with WFYI and Side Effects Public Media. You can follow her on X at @farrahsoa or by email at fanderson@wfyi.org.