New AI data center coming to Glencoe. Here’s what residents and city leaders are saying

In the quiet western edge of Glencoe, a new chapter is unfolding. Construction crews are rapidly transforming 6.25 acres into a cutting-edge artificial intelligence data center, promising economic growth but sparking community debate. As the steel framework rises, residents and city leaders grapple with what this high-tech venture means for their town’s future.

What’s Happening with the Glencoe Data Center

The project, spearheaded by Revolve Labs, is set to span nearly 94,100 square feet across three buildings at 670 11th St. W. The facility aims to support AI inference — the crucial computing that powers tools like ChatGPT, Gemini, and Claude — marking a significant step for Glencoe’s tech footprint. The company emphasizes that the data center will handle AI workloads that generate responses, a core function behind many modern AI applications.

City officials say the project was thoroughly vetted. Discussions began about 18 months ago after Revolve Labs, which already operates a small cryptocurrency mining operation in Glencoe, approached local leaders about expanding into AI. These talks, according to City Administrator Mark Lemen, were conducted openly during public meetings, with no closed-door negotiations. The city’s review focused on infrastructure capacity, water use, and environmental safeguards.

Community Concerns and Local Safeguards

Despite assurances, some residents remain uneasy. A local, who preferred to remain anonymous, voiced frustration over the process, claiming residents weren’t sufficiently involved in the decision. “We should have been able to vote on it,” he said, citing worries about rising utility bills—water, electric, and gas—and the lack of community input.

Water use is a primary concern. Lemen explained the facility’s water consumption is capped at 200,000 gallons daily, well below Glencoe’s total capacity of 1.8 million gallons. The city retains the right to shut off water if limits are exceeded, providing a safeguard for residents. Noise, another worry, is expected to stay below Minnesota’s nighttime residential limit of 50 decibels, with sound testing scheduled after the facility’s opening.

Community Impact and Economic Potential

City leaders highlight that the project is privately funded, with no taxpayer dollars involved. Revolve Labs has not sought tax incentives or subsidies, officials say, emphasizing that the project is a free-market initiative designed to boost local growth. Mayor Mark Hueser pointed out the location’s strategic placement—away from dense residential areas—reducing potential disturbances and aligning with the town’s industrial zoning.

The economic promise is tangible. Revolve Labs estimates the facility will create 20 to 30 tech jobs and 9 to 10 security positions. Additionally, the project is projected to generate between $500,000 and $600,000 annually in property taxes, benefiting the city, county, and school district. These funds could support local infrastructure, schools, and community programs, reinforcing the value of responsible growth.

What Residents Say and the Path Forward

While some residents welcome the new development, others feel left out of the process. The resident who voiced concerns about voting rights underscores a broader debate about transparency in private development. City officials maintain that the project followed all legal procedures, including planning, zoning, and council approvals, and that the location’s industrial zoning minimizes residential impact.

Construction is already underway, with the anticipated operational date moved up from April 2027 to late May or early June. The project’s speed reflects the city’s confidence in its planning and safeguards. As the facility nears completion, community members are watching closely, weighing the promise of new jobs and revenue against fears of rising utility costs and environmental impacts.

Looking ahead, Glencoe officials hope this high-tech hub will attract further investment, positioning the town as a player in Minnesota’s growing AI ecosystem. The project exemplifies a community balancing progress with preservation, aiming to foster a thriving, faith-centered environment that upholds strong families and authentic community bonds.

Local Context: Glencoe’s Industrial Roots and Future Aspirations

Glencoe, a small city with a population of approximately 6,000 residents, has long been rooted in agriculture and manufacturing. Its historic downtown features traditional Main Street shops, a few manufacturing plants, and a community-oriented atmosphere. Over the decades, the city has sought to diversify its economy, recognizing the importance of embracing new industries to sustain its growth.

The addition of a high-tech data center aligns with Glencoe’s broader economic development goals. City leaders have expressed a desire to attract innovative companies that can provide stable, well-paying jobs for local residents. Mayor Mark Hueser, a lifelong resident, emphasizes that this project is part of a strategic effort to modernize the town’s economy without sacrificing its small-town charm.

Glencoe’s proximity to the Twin Cities metro area—roughly 50 miles west of Minneapolis—makes it an attractive location for such developments. Its industrial zoning and available land parcels have made it easier for companies like Revolve Labs to consider the city as a viable site for expansion. The city’s planning department has actively promoted a vision of sustainable growth, balancing new tech ventures with preserving community character.

Community Voices and the Broader Debate

Community reaction has been mixed. Some residents see the data center as a sign of progress, bringing potential jobs and increased tax revenue that could improve local schools, roads, and public services. Others worry about environmental impacts, utility costs, and the lack of direct community input in the decision-making process.

John Peterson, a retired teacher and longtime resident, expressed cautious optimism. “Any new business can bring opportunities, but I want to make sure it doesn’t come at the expense of our environment or our quality of life,” he said. “We need transparency and community involvement in these decisions.”

Meanwhile, local advocacy groups such as Minnesota Citizens for Responsible Development have called for continued oversight and environmental safeguards, emphasizing the importance of community voices in shaping Glencoe’s future.

What Happens Next?

Construction at the site is progressing rapidly. With the expected operational date now slated for late May or early June, city officials are preparing for the transition from building to functioning facility. The city plans to monitor the project closely, ensuring compliance with water and noise safeguards.

Revolve Labs has committed to ongoing environmental testing and community engagement. The company has scheduled post-opening sound assessments and plans to hold informational sessions for residents to address concerns and gather feedback.

In the longer term, the success of this project could serve as a model for other small towns in Minnesota looking to embrace new industries while maintaining community integrity. City leaders are optimistic that this high-tech hub will catalyze further investment, perhaps attracting suppliers, tech startups, or educational partnerships that can benefit Glencoe’s economy and residents alike.

For now, the community watches and waits, hopeful that this new venture will bring prosperity without compromising the values that have defined Glencoe for generations. As the data center begins operations, residents and leaders alike will be watching closely to see how this high-stakes balancing act unfolds in the coming months.