Data center company DataBank Inc. plans to build a more than 425,000-square-foot facility in the Red Oak area of Ellis County.
The Dallas-based company plans to begin construction on a two-story data center with office space starting in September, according to a filing with the Texas Department of Licensing and Regulation.
The project, designed by JHET Architects of Mansfield, is expected to cost $256 million to build, according to the filing.
The project, located along Stainback Road, is scheduled for completion in the first quarter of 2027.
Red Oak, located south of Dallas along Interstate 35 East, is emerging as a data center hub for North Texas, with major companies such as Google and Compass Data Centers announcing major projects in the area.
Data centers not only come with huge business personal property taxes that can be transformative to a community’s tax base, but they also require significant utility usage.
Databank’s filing comes after the company announced a $725 million credit facility in April to help fund current and future data center construction projects.
Databank also announced a $280 million expansion at its Legacy Business Park project at 8735 Dominion Parkway in Plano in December.
The company raised $533 million in debt and equity last year to fund the construction of new data centers.
Prior to this, the company received a $2.2 billion recapitalization led by Swiss Life Asset Management.
