There are certain topics polite society has long agreed to leave off the dinner table — money, politics, religion. Should we add data centers to that list? 

Ask Tom Moulton, a developer in Nottingham, NH, who withdrew his application just this past week, due in no small part to fierce community backlash centered on environmental concerns. Here's the question worth asking though: if you polled those same concerned townspeople about whether they use ChatGPT or Claude, how many hands do you think would go up? Quite a few, I'd wager. Which raises an uncomfortable but honest question - are we staring down a classic do as I say, not as I do moment? 

The Fever Pitch Is Real 

The conversation around data centers has reached a boiling point, and it's not just happening in New Hampshire. 

In Lowell, Massachusetts, a 352,000 square foot data center operated by the Markley Group has been running for some time. Residents have recently raised concerns - noise complaints, diesel emissions - and those concerns have now translated into a proposed moratorium on the center's expansion plans. Whether you side with the residents or the developer, the frustration on both sides is entirely understandable. 

I'll be candid: I'm sympathetic to both parties. The free market is going to do what the free market does. There is unmet demand, and that demand is enormous. These data centers will get built — the only real question is where. And with that question comes the reality that they may, or may not, carry negative side effects for the communities that host them. 

The Good News? The Problems Are Known 

Here's where I'll offer some optimism. The challenges posed by data centers, while significant, are not mysteries. They are quantifiable, and what can be measured can be managed. 

Consider the numbers: 

• A single AI data center can consume up to five million gallons of water per day - equivalent to the daily water usage of a town of 50,000 people 

• Hyperscale data centers rival or outright exceed the energy consumption of large cities 

Those are serious figures. But once the variables are on the table, we can work with them. Engineers, planners, developers, and municipalities can problem-solve around known quantities. It's the unknown that keeps everyone up at night. 

A Patchwork of Policy Responses 

Across New England, legislators are wrestling with how to respond - with varying results. 

• Maine moved to ban data centers exceeding 20 megawatts - vetoed by Governor Janet Mills in April 

• Vermont pursued a similar ban this past May - vetoed by Governor Phil Scott 

• New Hampshire is navigating its own path. Senate Bill 439, which would allow data centers by right in commercially zoned parcels, has passed the Senate and is now headed to the House 

The legislative landscape is shifting quickly. Whether municipalities retain the authority to weigh local pros and cons on a case-by-case basis, or whether broader statewide approaches - bans or permissions - take precedence, remains very much an open question. Time will tell. 

A Postscript Worth Taking Seriously 

If there is one thing I would ask of anyone reading this, it's this: please consider volunteering with your local planning or zoning board. 

These boards are making decisions right now that will shape your community for decades. They need members who understand the business, who understand the law, and who can navigate both with clarity and good faith. In New Hampshire, we have pushed for mandatory training of all board members — a common sense measure that, unfortunately, has yet to gain traction. 

The real estate community thanks you in advance. Your town will too. 

The views expressed are those of the Managing Director and reflect ongoing conversations within our industry and our communities.