New Brunswick Scraps AI Data Center Plan, Greenlights Park and 600 Apartments

The New Brunswick City Council voted Wednesday night to axe plans for an AI data center at 100 Jersey Ave. A public park will rise there instead. This decision comes as part of a sprawling redevelopment effort that will bring 600 new apartments to the area.

Council President Manuel Castaneda announced the cancellation to hundreds of people in attendance. Many clutched signs reading "No data center!" Applause erupted.

Residents had voiced worries that the facility would spike electric and water bills. Data centers consume massive amounts of electricity. Over the past two years, they've contributed to sharp increases in electric bills across the state. These facilities also require substantial water to cool their servers, which drives up water costs.

The proposed facility would have been 27,000 square feet. The average data center in the state is more than 400% larger.

"Its inclusion in the development was uncertain, as the need for a data center must be demonstrated and approved by PSE&G," said the city in a statement. "We appreciate the input received from the planning board and the public."

The 22-acre site is zoned as the Jersey-Sandford Redevelopment Plan Area. The city described it as consisting of "unsafe, dilapidated, obsolescent, vacant and abandoned structures that have blighted the neighborhood."

The redevelopment plan includes 600 apartments, with 10 percent designated as affordable housing. Small bay warehouses designed for small business and start-up companies will also be built on the site.

Some residents argued the affordable housing percentage should be 20% instead of 10%. "This is great news, no data center," said Anne Norris, a resident of 16 years, according to Patch. "My kids went through the (New Brunswick) public school system; we didn't pay for lunch because we have so many families under the poverty line. So, given the economic status of the people who live in New Brunswick, I don't think 10% is really sufficient."

The city responded that it has already "far exceeded" its obligation to build affordable and subsidized housing. The municipality has over 3,750 affordable and subsidized housing units right now, making up 22% of the city's housing stock. An additional 561 affordable units are in the pipeline. This will bump that percentage to 25% citywide.

"A primary objective of the 100 Jersey Avenue redevelopment plan is to provide workforce housing for individuals and families who may not be able to afford the higher rents associated with new redevelopment projects occurring in the city's downtown," the city said Wednesday.