U.S. Data Center Projects Surge as Local Restrictions Reach 42 States
The number of new U.S. data center projects announced in 2026 has already surpassed the total for all of 2025, even as local restrictions spread to 42 states. LandGate says power interconnection and local approval, rather than capital, are becoming the main factors determining which projects move forward.
- LandGate tracks 6,561 U.S. data center projects.
- 819 projects were announced through October 2026, compared with 764 in all of 2025.
- Texas and Virginia lead states in projects in development, with 454 and 443 respectively.
- Hyperscale projects make up 71% of the development pipeline.
- Local restrictions have spread to 42 states, while power interconnection and approvals shape project execution.
2026 announcements have already passed 2025
LandGate’s Q4 2026 Data Center Activity Report tracks 6,561 U.S. data center projects. Of those, 3,045, or 46.4%, are in development, while 3,191, or 48.6%, are already operating.
The company recorded 819 new projects announced through October 2026. That is higher than the 764 projects announced during all of 2025. In five regions, the Southeast, ERCOT, MISO, SPP and PJM, the number of projects in development now exceeds the operating base.
LandGate, a Wood Mackenzie business, describes the market as growing while becoming more selective. The report says record hyperscaler spending has removed capital as the limiting factor in the U.S. data center buildout. Access to power and local approval are now more important in determining which projects get built.
Texas and Virginia lead projects in development
The Southeast has 1,014 projects in development, compared with 690 active projects. Texas leads individual states with 454 projects in development, followed by Virginia with 443. Georgia has 272, Pennsylvania has 199 and Arizona has 160.
Hyperscale projects account for 71% of the development pipeline, representing 2,154 projects. The figures point to continued expansion among large-scale data center developments, while also highlighting the importance of grid capacity and local government decisions.
Grid rules and local approvals are tightening
According to LandGate, restrictions are spreading at the local level rather than through a national policy. The company says local restrictions now affect 42 states, making site selection increasingly dependent on conditions in specific communities.
The report points to recent changes involving grid access. The Federal Energy Regulatory Commission issued show cause orders to all six FERC-jurisdictional regional transmission organizations and independent system operators on large-load interconnection in June. In August, Texas ordered an audit of every data center in the ERCOT queue.
LandGate CEO Yoann Hispa said, “The project pipeline continues to expand rapidly. Successful execution hinges on rigorous, upfront analysis of localized grid dynamics and municipal zoning constraints.”
What the shift means for data center developers
LandGate’s findings suggest that the opportunity for data center development remains, but projects increasingly need to be evaluated on a site-by-site basis. Developers and investors must account for grid-region conditions, interconnection requirements, municipal zoning and community sentiment alongside the availability of capital.
The full report covers pipeline activity by grid region and state, hyperscale capital expenditure, power and interconnection, community sentiment and moratoriums, and capital markets. Its central message is that a large project pipeline does not guarantee construction: local approval and reliable access to power can determine whether an announcement becomes an operating facility.
