Data centers

Learn about changes to zoning rules related to data centers in Minneapolis.

Overview

The City is updating its zoning rules for data centers. Data centers hold computers that store and process information. These computers help the internet work.

Partly because of new AI technology, data centers are growing fast across the country. Companies want to build them in cities, suburbs, and rural areas. Many other communities are also updating their rules to manage the impact of data centers.

Earlier this year, the City Council approved a temporary ordinance. It pauses new data center proposals in most of the city. This pause gives the City time to create new standards.

Share your comments

Goals of the code change

We want to make sure Minneapolis has strong rules for data centers so we can limit any negative effects on the community. We also want to look at ways to reuse empty office and commercial buildings.

People have told us they’re worried about things like energy use, water use, and noise. Cities in Minnesota can’t make their own rules for building components or systems because the state building code controls those. This means the City cannot address some issues in the way people might expect.

With new zoning rules, the City plans to:

  • Define what a data center is 
  • Limit how big data centers can be
  • Decide where data centers are allowed 
  • Require data centers to report their planned energy and water use
  • Reduce noise impacts

If a business or institution has servers that only serve that same property, those systems will usually not be counted as a data center.

Relevant sections of the zoning code

These chapters of the zoning code may change as part of the amendment:

  • Chapter 535, Overlay Districts
  • Chapter 540, Built Form Overlay Districts
  • Chapter 545, Use Regulations
  • Chapter 550, Development Standards
  • Chapter 565, Definitions

Preliminary recommendations

After we review public input, we’ll share updates in October and bring the ordinance to the City Planning Commission on Oct. 16.

See a summary of the preliminary recommendations

Adoption process

Changes to the zoning code must go through a rigorous review process. 

Learn more about the process

Meetings

Summary of the preliminary recommendations

New definition

Data center

A principal use where the primary function is to house computers and/or related equipment for the purpose of collection, processing, storage, or retrieval of data. 

Review process

  • A conditional use permit (CUP) is required for any new or expanded data center
  • CUP includes a public hearing at the City Planning Commission (CPC)
  • CPC decides to approve or deny the CUP
  • Decision is final unless appealed
  • Appeals go to the City Council

Where the use is allowed with a conditional use permit

  • Downtown zoning districts DT1 and DT2

You can see a map of the proposed zoning districts for data centers in Minneapolis.

View the map

Size limits

  • Size limits are based on the amount of “white space” (server and equipment area)
  • Downtown districts: white space capped at 175,000 sq. ft.

Building requirements

  • No new buildings may be built for a data center
  • New data centers must be placed in existing buildings at the time the ordinance becomes effective.
  • Minor additions allowed (for example, enclosing equipment)

Application requirements

  • Must disclose expected use of:
    • Water
    • Electricity
    • Generators
    • Sound attenuation plan
  • Must submit written evidence showing coordination with the electric utility provider

Server room placement rules

Rooms with servers (where most noise occurs) cannot:

  • Be within 20 feet of an exterior building wall
  • Be within 100 feet of the exterior wall of a residential dwelling unit or rooming unit

Equipment placement

Equipment must be inside the building or on the roof

Additional downtown rules

  • No server rooms or equipment allowed on the first or second floor
  • Data centers established after Jan. 1, 2026 cannot be the only principal use on the lot

Also being considered

Outside of downtown, a new overlay district could let the City review data centers on a case by case basis.

  • The City still needs to decide the rules and standards for this overlay district
  • Any data centers allowed outside downtown would be smaller than the ones allowed downtown
  • Environmental justice would help guide the City’s decision
  • A company or institution would have to apply to rezone its property
  • The City can choose to approve or deny the rezoning request 

Clarifications

Spaces that do not count as active ground‑floor functions under sections 550.70 and 550.600 include:

  • Servers
  • Distribution equipment
  • Cooling
  • Generators and similar equipment

Note: The City’s Health Department is currently developing regulations for stationary generators

Person working in a data center

Submit comments

Share your thoughts on proposed zoning rules for data centers in Minneapolis. Comments open to the public.

Media requests

For all media inquiries, contact the City of Minneapolis Communications Department.

Contact us

Planning and Zoning

Community Planning & Economic Development (CPED)

Phone

612-673-3000

Address

Public Service Building
505 Fourth Ave. S., Room 320
Minneapolis, MN 55415