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Microsoft pulls plug on plans for 244-acre data center in Caledonia

Recorded: May 25, 2026, 2:59 p.m.

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Residents thrilled as Microsoft pulls plug on proposed data center in Caledonia

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Microsoft pulls plug on plans for 244-acre data center in Caledonia after community pushback
Despite abandoning this particular location, Microsoft indicated it remains interested in investing in Southeast Wisconsin

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Microsoft has decided not to move forward with its proposed site for a data center in the Village of Caledonia after facing significant community pushback from residents.

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VILLAGE OF CALEDONIA, Wis. — Microsoft has decided not to move forward with its proposed site for a data center in the Village of Caledonia after facing significant community pushback from residents.PREVIOUS COVERAGE | Microsoft data center proposal continues to divide Caledonia residents as rezoning plans move forward“Based on the community feedback we heard, we have chosen not to move forward with this site,” a Microsoft spokesperson said in a statement Wednesday.The tech giant’s decision comes after hundreds of residents voiced opposition to the project over recent weeks. More than 2,000 people signed a petition opposing a rezoning proposal that would have allowed the data center to be built on 244 acres of land.Watch: Microsoft pulls plug on plans for 244-acre data center in Caledonia after community pushback
Microsoft pulls plug on plans for 244-acre data center in Caledonia after community pushback

The proposed site was situated on County Line Road and State Highway 32, southwest of the WE Energies Oak Creek Power Plant, and was surrounded by farmland and residential properties. 47032805-Concept Site Plan - Project Nova by TMJ4 News
Despite abandoning this particular location, Microsoft indicated it remains interested in investing in Southeast Wisconsin.The spokesperson said the company looks forward to “working with the Village of Caledonia and Racine County leaders to identify a site that aligns with community priorities and our long-term development goals.”TMJ4’s Jenna Rae, who has been following this story, reached out to Todd Willis, the village administrator, who provided the following statement:
“Nothing official has been submitted to the Village regarding their pending application, and have no comment until such time.”
- Todd Willis, Village Administrator

Resident Prescott Balch told TMJ4 that his phone did not stop ringing on Wednesday morning, as people delivered the news.

TMJ4
Prescott Balch lives in Caledonia. Balch welcomed the news that Microsoft is changing plans to bring a data center in the area.

"We're ecstatic that those arguments held water and ultimately convinced a large corporation to back off, so great day here in Caledonia," Balch said.Village trustee Nancy Pierce says she learned about the change from a news article."I have a lot of respect for Microsoft, making the decision when they say they listened to the constituents. They also listened to board questions both at the planning commission at the board level. I believe that they took a lot of different pieces of information into play," Pierce stated.

TMJ4 News
Nancy Pierce is a village trustee in Caledonia.

Both Pierce and Balch made it clear that they are not opposed to working with Microsoft in Caledonia.As the tech giant looks for a new site, there is hope that there are improvements to the overall process."I would’ve liked to been able to engage directly with Microsoft much earlier in the process. We were not allowed to do that. I think that became an obstacle for a lot of different points and reasons," Pierce explained. "I feel like now they would come forward much quicker and engage directly with the community, really get to understand the community.""There are people that have an opinion about what they want to do with their village, and that was absent in this to me. That's the real message of this thing," Balch explained. "Let's help Microsoft find the right spot in southeast Wisconsin."Let's talk:
Hey there! At TMJ4 News, we're all about listening to our audience and tackling the stuff that really matters to you. Got a story idea, tip, or just want to chat about this piece? Hit us up using the form below. For more ways to get in touch, head over to tmj4.com/tips.

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Give Light and the People Will Find Their Own Way

Microsoft has withdrawn its plans for a data center in the Village of Caledonia following substantial opposition from local residents. This decision stems from significant community pushback regarding the proposed site, which involved a rezoning proposal for 244 acres of land. A Microsoft spokesperson stated that the company chose not to proceed with the development at this specific location based on the community feedback received. This opposition was formalized when more than two thousand residents signed a petition against the rezoning proposal.

The initially proposed site was situated along County Line Road and State Highway 32, positioned southwest of the WE Energies Oak Creek Power Plant, and was surrounded by a mix of farmland and residential properties. Despite abandoning the Caledonia location, Microsoft affirmed its ongoing interest in investing within Southeast Wisconsin. The company indicated a commitment to working with the leaders of the Village of Caledonia and Racine County to identify a future site that better aligns with community priorities and the company's long-term development objectives.

Local officials acknowledged the community's role in this outcome. Village Administrator Todd Willis noted that no official application had been submitted to the Village regarding the pending application and therefore offered no further comment. Residents, such as Prescott Balch, expressed satisfaction that the community arguments successfully influenced the large corporation to change its plans. Village trustee Nancy Pierce expressed respect for Microsoft for reportedly listening to constituents and board questions during the planning commission, suggesting that this input was crucial in the decision-making process. However, she also noted a desire for earlier and more direct engagement with the community during the initial stages of the process, believing this engagement would have provided a more complete understanding of local sentiment. Residents emphasized that the absence of direct community expression in the initial stages was a significant factor affecting the process.