Goodman Group has withdrawn its development application for a A$1.2 billion data center in Sydney's Lane Cove suburb after facing significant local opposition. The company cited evolving policy and regulatory environments, along with community feedback, as reasons for not proceeding with the Project Mars facility.
The decision highlights growing community resistance to data center development in Australia due to environmental and local impact concerns, potentially influencing future project approvals and the pace of the country's data infrastructure expansion.
Goodman Group, one of Australia's largest listed property companies, has abandoned plans to build a A$1.2 billion, 90-megawatt data center, known as Project Mars, in the Sydney suburb of Lane Cove. The company formally withdrew its development application on Monday, citing significant local opposition and an evolving policy and regulatory environment for large-scale data center developments.
Residents in Lane Cove had fiercely opposed the project, which was planned to be located approximately 20 meters from their homes. Concerns raised included the environmental footprint, energy and water consumption, impact on power bills, and potential noise pollution associated with the facility. Last week, Goodman Group conceded during a Senate inquiry that the project had failed to gain "social license" from the community.
The withdrawal represents a notable instance of community opposition successfully blocking a data center development in Australia, as the country aims to become a global hub for such infrastructure.
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