Amazon Donates 25 Acres and $5 Million to End Loudoun Data Center Fight

Amazon is paying $5 million into Loudoun County's housing fund and donating 25 acres of land to the local government. This move concludes a dispute over four proposed data centers on a 122-acre site just outside Washington, D.C.

The company originally bought the land, which was the former George Washington University campus, in July. It filed a proposal to build four facilities on the property at that time. By September, local leaders had pushed back against the plan. Phyllis J. Randall, the chair of the Loudoun County Board of Supervisors, met with Amazon officials to suggest the company find a different use for the land.

Loudoun County is known as a hub for server infrastructure. Residents have complained about the noise and high electricity consumption associated with these facilities. The county's attitude toward new construction has changed in recent months, making the original proposal harder to approve.

The new agreement converts most of the site into mixed-use and residential development. The 25 donated acres will house a community arts center and a new recreational facility. The $5 million contribution will go directly to the county's housing fund.

Josh Weissman, Amazon's vice president for data center development, explained the company's decision. He stated that while the company believed it had the legal right to build, it preferred a shared vision over costly litigation. He noted that Amazon took the county's specific concerns about the site into account.

Randall described the outcome as a result of cooperation. She said the agreement allows residents to gather and create while providing more attainable homes for working families. This local deal follows national pressure on the industry. President Donald Trump recently demanded that data center operators pay local communities a dividend and generate their own electricity to offset rising energy costs.

The site is no longer slated for server racks. Instead, it will host housing and public facilities. The $5 million cash payment and the 25-acre land transfer are the core financial terms of the settlement.