"KRW 13 million per household if data center is approved"... Why residents oppose construction

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File photo, source: Unsplash
File photo, source: Unsplash

[Sportschosun, reporter Jang Jong-ho] "We oppose the construction of a data center that threatens our lives."

A U.S. developer proposed a compensation package totaling $45 million (approximately KRW 61.1 billion) while pursuing data center construction, but many residents are reportedly opposed to the project.

According to U.S. media outlets including The Wall Street Journal and New York Post, NorthPoint Development, which is pursuing a data center development project in Hazle Township, Commonwealth of Pennsylvania, recently proposed a substantial support package to local residents.

The developer proposed paying $10,000 (approximately KRW 13 million) to each of roughly 4,500 households if the data center project moves forward. The total amount would reach $45 million.

However, the money would not be paid immediately. It would be disbursed on the condition that the first data center building planned by NorthPoint receives approval for occupancy. According to project materials released by the developer, the first data center building is expected to receive occupancy approval around the end of 2027.

The proposal is part of a project to develop a large-scale data center complex on a site of approximately 1.3 million square meters, or about 393,000 pyeong, near the Pocono Mountains in Hazle Township, Commonwealth of Pennsylvania. The site, equivalent to more than 180 soccer fields, is slated to contain a total of 15 data center buildings.

Local residents reacted more coldly than expected.

Although some residents acknowledged that $10,000 is not an insignificant amount, they expressed concerns about noise, light pollution and declining home prices that could result from the data center's construction.

One resident stressed, "Home prices are bound to fall because of the data center construction. Can $10,000 compensate for that?"

To ease residents' opposition, the developer introduced extensive community support measures in addition to the cash payments.

NorthPoint's current project plan includes a $45 million resident support fund, a $15 million community support fund and a long-term support plan to invest $120 million (approximately KRW 160 billion) over the next 15 years. The developer explained that it plans to provide $7 million annually to the community for 15 years.

Community opposition to data centers is not limited to Hazle Township. In the United States, data center construction has expanded rapidly alongside the growth of artificial intelligence services, leading to conflicts in various areas over electricity and water consumption, noise and land use.

A Gallup survey conducted in 2026 found that roughly seven in 10 Americans said they opposed having a data center built in their area. The survey also found that more respondents preferred a nuclear power plant to be built in their area than a data center.

Jang Jong-ho, reporter bellho@sportschosun.com

This article has been translated by GripLabs Mingo AI.

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