Microsoft's Multi-Million Dollar Move: Securing Data Center Dominance near Gainesville

Microsoft Corp. acquired vacant property zoned for data centers in Gainesville.Photo byGoogle Maps

Microsoft Corp. has made a significant investment in the expansion of its data center infrastructure with the recent acquisition of vacant property near Gainesville VA for a staggering $465.5 million, as reported by the Washington Business Journal.

The purchased property spans approximately 124 acres, encompassing two parcels located at 13490 University Blvd. and 5941 Wellington Road. Situated directly south of Conway Robinson State Forest and Manassas National Battlefield Park, this strategic location places Microsoft in proximity to the emerging PW Digital Gateway data center corridor, which is slated for development.

The seller of these parcels is identified as 41992 John Marshall Highway LLC, closely associated with JK Land Holdings LLC, a land acquisition firm managed by Chuck Kuhn, a prominent figure in the logistics and data center industry based in Loudoun. JK Land Holdings confirmed the legitimacy of the sale but refrained from providing further comments, while Microsoft remained unreachable for immediate comment.

The existing heavy industrial zoning of both parcels is conducive to data center development. However, a rezoning application submitted to Prince William County last year for the University Boulevard site seeks approval for nearly 4 million square feet of data centers and a new electric substation. Notably, the Wellington Road parcel was previously the site of the Atlantic Research Corporation, a facility engaged in rocket and missile production and testing under a U.S. Department of Defense contract until its decommissioning in 2005.

Adjacent to this acquisition, a 181-acre property on the former Atlantic Research Corporation site was sold in 2017 to Sharpless Enterprises LLC, based in Delaware. This entity is currently pursuing the development of a data center hub with multiple buildings, pending approval from the U.S. Army Corps of Engineers.

Microsoft's substantial investment in this prime data center land underscores the company's commitment to expanding its infrastructure and services, positioning itself at the forefront of the rapidly evolving technology landscape.