Data centers require a significant amount of space to house servers, translating to many acres of land per facility. The rising demand for AI workloads increases the need to expand and build more data centers, with hyperscalers becoming the new standard.
Data center land acquisition is a rapidly growing concern. Earth has a finite amount of land, and the available surface area shrinks with every new piece of infrastructure built. With this in mind, let’s explore how much land data centers occupy, how this land use affects the environment and what the future looks like if land use isn’t restricted.
Understanding data center land use
In the 1990s, the rise of internet startups caused a data center infrastructure boom. Old office buildings were converted into data centers, empty fields became plots and buildings were easily hooked up to local energy grids to support power demands without straining the supply.
According to Stream Data Centers, 1 to 2 megawatt data centers in the ’90s are now 40+ MW facilities due to rising demand for capacity and AI workloads. Data centers need more servers to meet this demand, which requires more space and bigger power supply systems. Modern data centers need a vastly steeper power supply than the existing grid can handle, leading to further land use due to the installation of new high-voltage power lines, substations or microgrids.
According to McKinsey, 200 MW facilities aren’t out of the norm now, as that is the computing power needed to support AI workloads. In 2022, the average power density per server rack was 8 kilowatts (kW). In 2024, AI-ready server racks more than doubled the average power density per server rack to 17 kW. Power density will only increase as AI demand grows. McKinsey’s report estimated the average power density to rise to 30 kW by 2027.
Pankaj Sachdeva, senior partner at McKinsey, said that, as of late 2024, the global data center demand is around 60 gigawatts and is expected to triple by 2030. However, power and supply chain constraints make this a challenging goal for data centers, especially since it takes 18 to 30 months to build a new data center without supply constraints.
Data center land use by the numbers
Typical data center sites require at least 10 acres of vacant land. This space is for more than just facilities to house data halls — it also includes space for power and network infrastructure, cooling equipment, water systems and personnel facilities.
On average, a full-scale data center occupies 40 acres of land. According to Statista, as of March 2025, more than 10,000 data centers exist globally. If the 10,000 existing data centers occupied 40 acres each, the estimated total land use would be 400,000 acres, or about 528,000 football fields.
As of 2024, the average data center lot size has changed. According to Cushman & Wakefield, the average data center land transaction is 224 acres, a 144% increase since 2022. AI data centers typically require a minimum of 200 acres to accommodate the physical footprint needed to support AI workloads. The total land requirements for modern hyperscalers often exceed 200 to 500 acres. Some companies purchase 1,000 acres or more for future growth and expansion of their data center campuses.
Environmental impact
Data center land acquisition negatively impacts the environment by increasing the carbon footprint, limiting land, causing habitat loss and destroying natural resources.
Building data centers in or near environmentally sensitive locations harms local ecosystems. Thinning or removing forests and building over grassland strips the land of other essential uses, like farming, natural conservation and housing. Plus, the clearing of land, the construction of facilities and the ongoing operation of data centers emit greenhouse gases that continuously harm the environment.
Increased carbon footprint
Data center development increases greenhouse gas emissions, especially during the construction phase. The energy-intensive nature of building and operating these facilities creates a continuous source of emissions that persists throughout their operational lifetime.
Renewable energy use can decrease carbon emissions, but methods like solar cannot sustainably power large data centers. According to Simple Thread, it would take 1,446 acres of solar panels to power a 100 MW hyperscale data center.
Land limitations and habitat loss
Available land is often in locations that must be prepared for data center infrastructure. Deforestation is one of the most devastating impacts of data center development. Trees play a significant role in filtering carbon emissions. Removing trees worsens air quality, releases carbon emissions and disrupts ecosystems.
Data center land acquisition also poses a significant threat to farmland, grasslands and wetlands. The cumulative impact of replacing these diverse ecosystems with industrial facilities creates environmental consequences that extend beyond the immediate construction site.
Converting farmland into data center sites reduces areas for food production, agriculture and biodiversity, worsening local food security and agricultural economies. The transformation of grasslands destroys natural landscapes that are highly effective at sequestering carbon. The destruction of wetlands removes vital natural infrastructure that communities depend on for protection against environmental hazards and clean water resources.
The fragmentation, degradation and loss of wildlife habitats, including those of endangered species, create long-term ecological imbalances. Local species face displacement as their habitats are converted to industrial use.
Destruction of natural ecosystems and resources
Data center development leads to soil degradation and erosion in surrounding areas. Grasslands regulate water and maintain soil health, while wetlands provide water filtration, flood control and shoreline stabilization.
Changes to the landscape alter natural water flows, creating complications with rainwater runoff and compromising water quality in nearby waterways and aquifers. The degradation and drainage of natural resource areas diminish these ecosystems’ environmental services, reducing their ability to support biodiversity and maintain ecological balance.
The future of data center land acquisition
As the demand for data center capacity increases, stakeholders face a complicated question: Where can the industry go from here? The industry must prioritize operational needs, while minimizing its environmental impact. Regulating site selection, experimenting with unique environments and integrating sustainable landscaping practices could be the beginning steps in guiding the future of data center development and land use.
Regulation of site selection
According to the National Parks Conservation Association, developers frequently target land near national parks and historic sites, which poses a risk to crucial natural land ecosystems.
To protect these areas, local municipalities must rethink land use regulations, zoning codes and classifications. It is essential to ensure that data center sites are located away from critical habitats, while considering local regulations and community sentiment. Due diligence in securing special use and zoning permits is necessary, and strategic construction can help protect environmentally sensitive locations.
Unique environments for a data center
Data centers are traditionally built horizontally to optimize cost per megawatt. Building data center infrastructure vertically, however, would conserve land use. Vertical data centers can be located closer to customers in urban areas, improving latency and connections. However, the cost of extending the infrastructure upward is much steeper than building horizontally.
Due to limited land availability, data center developers are exploring innovative site selection methods. Data centers are being built underground, underwater and potentially in space.
Sustainable construction
Sustainable landscaping practices and conservation efforts can also go a long way toward giving back to the area. Data centers can support local energy grids and water systems by using off-grid power methods, such as on-site renewable power and sustainable water management technologies.
Jacob Roundy is a freelance writer and editor with more than a decade of experience with specializing in a variety of technology topics, such as data centers, business intelligence, AI/ML, climate change and sustainability. His writing focuses on demystifying tech, tracking trends in the industry, and providing practical guidance to IT leaders and administrators.
