KEY POINTS
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Augusta, GA, is attracting multiple data center projects worth billions in combined investment, driven by state tax incentives, expanding power infrastructure, and proximity to military cyber operations.
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Growing community opposition and bipartisan legislative efforts to eliminate tax credits create uncertainty around project feasibility and timelines.
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Firms should pay attention to project risks, as opposition and changing tax policies can delay or cancel data center projects.
The area surrounding Augusta, GA, is attracting significant interest from data center developers. Multiple projects worth several billion dollars combined are in early preconstruction phases.
These projects face substantial challenges to reach completion, but if they advance to groundbreaking, the area could see billions in construction investment.
Sought-After Location
Georgia ranks 5th nationally for data centers according to Data Center Map, achieved in part due to the state’s generous tax credits. Georgia offers 100% sales and use tax exemption on qualified equipment investments, creating compelling investment incentives for developers.
Augusta also benefits from proximity to Fort Gordon, which became the US Army’s cyber command headquarters in 2014. The transition brought thousands of new personnel and significant digital infrastructure demand to the area, making the region important for cyber-defense-related operations.
Georgia Power received approval in December 2025 to add nearly 10 MW in new generation, allowing for significant capacity expansion to meet data center demand. Future developments could benefit from this new generation as it comes online.
These factors position Augusta as a sought-after location for data center development, combining growing power capacity, investment-friendly tax breaks, and proximity to a key US Army cyber installation. However, the current incentive structure faces mounting opposition.
Opposition to Development
Residents near the proposed data centers have organized against projects, citing concerns over power and water consumption as well as falling property values. Community pushback has been successful in stopping data center projects elsewhere in the country, notably in Tucson, AZ, where resident concerns pushed the city council to halt construction on a data center.
Georgia politicians are similarly growing skeptical of data center development, as a bipartisan group of state legislators has introduced bills to end data center tax credits early. SB 408 would move the tax credit end date from January 1st, 2032, to January 1st, 2027.
Georgia Governor Brian Kemp has vetoed similar legislation in the past.
What It Means for Construction
For construction professionals, these dynamics may add to market uncertainty. Yet if these projects can secure approval and backing, there could be significant opportunities for firms specializing in data center and power infrastructure construction.
Construction firms should closely monitor developments, as adverse community or legislative action can delay or cancel planned projects. This dynamic is becoming increasingly common across the country, with legislation intended to reduce or eliminate data center tax credits proposed in Ohio, Arizona, and Michigan.
In this environment, even well-funded projects can face potential setbacks from permit denials or reduced tax incentives. This means construction firms in the data center and power infrastructure sectors should consider and weigh the risks associated with potential opportunities in early construction phases.
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