Dowagiac Mayor Demands Specifics on Planned Data Center Expansion

Hyperscale Data Inc. announces land acquisition but provides few details, frustrating local officials.

Apr. 2, 2026 at 2:00am

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Hyperscale Data Inc., a data center operator, has announced plans to expand its existing campus in Dowagiac, Michigan by acquiring nearly 49 additional acres of land. However, the company has provided few specifics about the project, leading Dowagiac Mayor Patrick Bakeman to issue an open letter demanding more transparency and a clear timeline for submitting development plans to the city.

Why it matters

The lack of details from Hyperscale has created uncertainty and eroded the confidence of local officials, who are eager to understand the full scope of the project and ensure it can coexist safely with the surrounding residential community. Dowagiac has been preparing for Hyperscale's expansion by updating local regulations, but without a formal proposal, the city is unable to properly review and address potential community concerns.

The details

Hyperscale Data Inc. announced that its subsidiary, Alliance Cloud Services, has reached an agreement to acquire nearly 49 acres of land to expand its existing data center campus in Dowagiac. The company says the expansion will help meet increasing demand for AI and high-performance computing, but has not provided specifics on the planned facilities or timeline. Mayor Bakeman has called on Hyperscale to announce the property it is purchasing and submit development plans for city review within 45 days, citing the company's 'vague' announcements and lack of necessary approvals.

  • Hyperscale Data Inc. made a public announcement about its expansion plans last year.
  • Hyperscale Data Inc. made another public announcement about an unnamed land acquisition in Southwest Michigan this week.
  • Hyperscale says it expects the property purchase to close within 60 days.

The players

Hyperscale Data Inc.

A data center operator that has an existing campus in Dowagiac, Michigan and is planning a major expansion in the area.

Alliance Cloud Services

A subsidiary of Hyperscale Data Inc. that has reached an agreement to acquire nearly 49 acres of land to expand the company's data center operations.

Patrick Bakeman

The mayor of Dowagiac, Michigan, who has issued an open letter demanding more transparency and a clear timeline from Hyperscale Data Inc. regarding its expansion plans.

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What they’re saying

“This land acquisition will give us additional space and the opportunity for future development and demonstrates the company's long-term commitment to Southwest Michigan and the company's operations there.”

— Will Horne, CEO, Hyperscale Data Inc.

“Both announcements were vague, and you have neither applied for nor received any approvals necessary to facilitate your expansion plans. By doing this, you've bred uncertainty and eroded our confidence that you will do the right thing in our community.”

— Patrick Bakeman, Mayor, City of Dowagiac

What’s next

Mayor Bakeman has given Hyperscale Data Inc. 45 days to announce the specific property it is purchasing and submit development plans for city review.

The takeaway

This situation highlights the importance of clear communication and transparency between businesses and local governments when planning major expansions. Dowagiac officials are eager to work with Hyperscale but need more details to properly address community concerns and ensure the project can be successfully integrated into the area.