$500-million data center on tap for Midllothian

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Staff Report

MIDLOTHIAN – A possible 40 jobs in the Midlothian area could be a reality with a planned mammoth data center, according to the local city council documents.

The city will offer Sharka LLC a 100-percent abatement on property taxes and an 85 percent abatement on improvements over a 10-year period in order to develop a data center at the RailPort Business Park.

The Midlothian city council passed the incentives last month. 

The Dallas Morning News reported in exchange, the operators of the data center are expected to make a $500 million capital investment and bring 40 jobs by the fifth year of the abatement.

“We have a couple of industrial parks, and we have been recruiting companies directly across the country,” said Larry Barnett, the president and CEO of Midlothian Economic Development. 

He said Midlothian Economic Development routinely responds to requests for interest and proposal companies put out when seeking homes for new facilities.

“We’re in growth mode as a city,” he said.

Sharka, which registered as a Texas company in January, owns the land currently.

It is not clear what corporation will eventually own the data center.

Large companies often negotiate large transactions under code names.

This one is tied to a firm in Austin that is in turn tied to Corporation Service Company, which, among other tasks, handles company names and legal documents during deals like this. 

The Waxahachie Daily Light first reported on the abatement’s passage on May 25.

Dallas-Fort Worth area has one of the highest concentrations of data center in the country after northern Virginia. 

Several data centers have come to North Texas of late; chief among them is Facebook, which has a more than $1 billion data center in Fort Worth.

Tech companies like Apple, Microsoft, Google and others have been expanding their data center operations, making business observers hyper-aware of deals like this. 

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