🚫 Holmdel Township Committee voted unanimously to ban data centers, joining a growing list of NJ towns.

🤖 Application to build a data center at Bell Works was submitted prior to the ban.

⚡ 40-megawatt data center would be located behind main Bell Works building and ring road.


HOLMDEL — Holmdel followed the lead of other New Jersey municipalities in barring data centers in town, but it may not stop one already proposed.

The Holmdel Township Committee voted unanimously on Aug. 11 in favor of a resolution deeming data centers a prohibited use in the town. What does that mean for an application by Inspired by Somerset Development before the Holmdel Planning Board to build a 40-megawatt data center on the mixed-use Bell Works site? Legally, probably nothing.

The township's hands may be tied for two reasons. First, the 2012 redevelopment agreement Holmdel entered into with Inspired by Somerset Development explicitly lists data centers as a permitted use on the property. Second, the Somerset Developers submitted the application on July 24, days after the Township Committee introduced the resolution but not before its final passage.

"Somerset's site plan application, from a legal standpoint, will have the benefit of zoning prior to consideration of this ordinance based upon the law," Holmdel Township attorney Michael L. Collins said during the meeting.

Watch Holmdel Township Committee hearing on data center resolution

Hearing starts 47 minutes into the meeting.

History of the Bell Works redevelopment

The Bell Works property, which is owned and operated by Inspired by Somerset Development, has become an exemplar of thoughtful redevelopment. The former Bell Labs complex encompassing 472 acres was overhauled into a space housing restaurants, businesses, and recreational activities.

The site features a modernized aesthetic with nods to the location's historic past incorporated throughout the design. Bell Works has become a destination within Holmdel and the state, even drawing Hollywood's attention as a location for the hit Apple series Severance.

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“Bell Works has always been a place where innovation, technology and economic opportunity come together, and we believe this data center is a natural extension of that legacy,” President and CEO of Inspired by Somerset Development Ralph Zucker said in a statement to New Jersey 101.5. “We’re working closely with local officials and the community to ensure that each phase of planning, construction and operation is approached thoughtfully and responsibly.”

Holmdel residents raise concerns about data center

Residents who spoke at the town meeting were less taken with the data center addition proposed for the property.

"These data centers right now are an uncertain. We don't know the effects of them," said Francine Campos. "The thing about Bell Works upsets me because when [developers] were talking about alternatives for Vonage (another former telecom site slated for redevelopment), one of them mentioned building a data center and the answer was there's not enough electricity here or power into Holmdel to support a data center."

Bell Works indicated on a comprehensive frequently asked questions page launched this month that the proposed data center is a tenth of the size of the large scale projects proposed in other parts of the country drawing national attention. They also said Jersey Central Power & Light (JCP&L) "can serve this facility within existing infrastructure and available utility capacity."

JCP&L recently upgraded aging parts of its power grid with taller utility poles throughout Holmdel, drawing many residents' ire.

Holmdel Data Center: Proposed Location and Next Steps

Location of Proposed Data Center at Bell Works
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The data center would be a two-floor building on the footprint of an existing structure on the Bell Works site, according to architectural plans.

The structure is behind the main Bell Works building on the far side of the ring road and borders a residential cul-de-sac at Ashton Court and a golf range.

The Holmdel Planning Board will have to review the application submitted by Inspired by Somerset Development and approve the plan before work on the project can proceed.

These NJ towns have banned data centers

As public concerns surge over electricity demand and stress on resources, a growing number of New Jersey communities scramble to ban data centers from being built within their borders.

Gallery Credit: Erin Vogt