Project Overview

The Lyon Township Data Center Project, named Project Flex, covers 172 acres in Lyon Township, Michigan. Featuring six buildings, it encompasses nearly 1.8 million square feet (170,000 sqm) of floor space and includes a utility substation.

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Developed by Verrus, the project received conditional approval in September 2025. However, the final permits to begin construction are still pending. It will depend on the sound study and energy audit. The sound study was done on 7 January 2026.

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The project matches the planned 2.2-million-square-foot data center for Oracle and OpenAI in Saline Township. It needs a new DTE Energy electrical substation and will have backup power from both batteries and diesel generators.

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It is designed to support cloud computing, artificial intelligence, and enterprise services for clients. The evaporating cooling system will use up to 15,000 gallons of water per day.

Many residents of the southwestern Oakland County community questioned the quality of a recently completed sound study and raised concerns about potential impacts to drinking water wells, air quality, and energy reliability.

Lyon Township Data Center Project Location

The Lyon Township Data Center Project is located in South Hill Business Park West, Lyon Township, Oakland County, Michigan. It is situated on the east side of Milford Road, just south of the Huron Valley Trail crossing and south of New Hudson Drive West.

Project Background

The project, developed in Oakland County, Michigan, has been designated for light industrial and general industrial uses since the 1950s. On 7 August, 2025, the developer, Verrus, submitted the site plan. On 8 September 2025, the Lyon Township Planning Commission unanimously granted conditional approval for the project.

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For final approval, the developer must fulfill all conditions, including the submission and review of the sound study, energy audit, updated plans, and agency sign-offs, such as those from the Michigan Department of Environment, Great Lakes, and Energy. The approval is valid until 8 September 2027, but construction cannot begin until all conditions are met.

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The residents became aware of the partial approval for the project in December 2025. A private Facebook group “NO DATA CENTER in Lyon Township” rapidly grew to 2,000 members, opposing the project approval. The common concerns were about the strain on local electricity infrastructure, water usage, and other environmental impacts of the project.

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In December 2025, the township began addressing concerns. On 7 January 2026, the sound study was completed. The township announced that the Planning Commission may be revisiting the conditional approval for rigorous review of conditions and community concerns.

Lyon Township Data Center Project Ownership Details

Verrus, a California-based developer formed about 2.5 years ago, is a subsidiary of Sidewalk Infrastructure Partners. Key investors are Alphabet, StepStone, and the Ontario Teachers’ Pension Plan. Detroit-based Walbridge owns the property and is the general contractor.

Lyon Township Data Center Project Latest Update

Lyon Township’s Board of Trustees unanimously approved a moratorium on data centers and large land uses, or facilities that exceed 100,000 square feet, while officials study various issues and update township ordinances. Now, the township won’t accept new applications for the data center projects for at least the next six months.

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The step was taken during the standing-room-only meeting held on 2 March 2026.  During the meeting, many residents continued to raise concerns about Project Flex, noting that the moratorium would not stop this hyperscale data center project.

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According to the resolution, Supervisor John Dolan would begin reviewing ordinances immediately that will address environmental impacts such as water, energy, noise, and light pollution of modern data processing centers; and create regulations for these facilities that focus on community well-being, buffering, impacts on utility infrastructure, and responsible planning.

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In the meeting, the township board amended the moratorium to address issues including construction noise, non-disclosure agreements, master plan alignment, zoning, large land use, decommissioning and restoration bonds, fire safety from battery storage, and generator use.

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Project Scope

The following is the project scope of the Lyon Township Data Center Project:

• Infrastructure: The project comprises a new DTE Energy Utility Substation, on-site battery storage for short outages, and diesel backup generators for extended reliability.
  

• Environmental Features: The project includes a low-emission design with grid-supporting batteries. Most wastewater will come from employee facilities.
  

• Cooling Systems: The project is designed using an evaporative cooling system. It is expected to consume up to 15,000 gallons of water per day.
  

• Data Center Buildings: The project comprises six buildings, each measuring 306,000 square feet, and will be capable of supporting cloud computing, artificial intelligence, and enterprise services for clients.
  

• Power Backup & Resilience: The project uses a Battery Energy Storage System (BESS) for short outages and grid support. Diesel generators will only be used for longer outages or periodic testing.

Project Timeline

Lyon Township Data Center Project Contractors

Lyon Township Data Center Project Investors

Benefits

The following are the benefits of the project:

• ​Boost Local Economy: The project boosts the local economy through partnerships with Detroit-area firms such as Walbridge.
  

• Generates Economy: The company promises to generate approximately USD 44 million for the township over time.
  

• Improves Grid Capacity: The data center uses a modern DTE Energy Substation, enhancing regional grid capacity and reliability for broader community use.
  

• Aiding Michigan’s Energy Stability: The project comprises on-site batteries that support the grid during peak times.
  

• Boosts Investments: The project positions Lyon Township as a technological hub, boosting investment in Oakland County.

Conclusion

The Lyon Township Project, known as Project Flex, is in the approval stage, positioning Lyon Township as a technological hub and boosting investment in Oakland County. Located in Michigan, the project covers approximately 1.8 million square feet.

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Developed by Verrus, it supports cloud computing, artificial intelligence, and enterprise services for clients. Consuming up to 15,000 gallons of water per day, the project will use a new DTE Energy electrical substation and will be served with backup power from both batteries and diesel generators.

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Upon completion, the project generates millions in tax revenue, high-wage jobs, and grid enhancements that benefit the broader community, positioning Oakland County as a tech destination backed by investors like Alphabet.

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