Business Cedar Rapids Iowa (IA)

Cedar Rapids approves third data center permit amid local questions

Cedar Rapids issued a permit for a third data center on 33rd Avenue SW, a roughly 98,700-square-foot facility by CLOP Cedar Rapids IA LLC, drawing fresh questions from residents about land use, local benefits and the city’s oversight of these developments.

Cedar Rapids approves third data center permit amid local questions
©Illustration AI Hannah Sorensen / news-block.org

Cedar Rapids city records show a permit was issued June 22 for a new data center at 1515 33rd Ave. SW, marking the third project of its kind in town as residents and city leaders continue to debate the pace and scale of data center growth.

What was approved and who is behind it

The permit names CLOP Cedar Rapids IA LLC, a division of Minnesota-based Oppidan, for a 98,695-square-foot facility — roughly the size of half a Target Supercenter. City officials said the site falls within an industrially zoned area on the southwest side of Cedar Rapids and that the approval followed routine review steps for that district.

  • Project size: 98,695 sq. ft.
  • Location: 1515 33rd Ave. SW
  • Permit date: June 22
  • Developer: CLOP Cedar Rapids IA LLC (Oppidan)

City response and public concern

Mayor Tiffany O’Donnell described the project as consistent with long-standing land use on that parcel, saying it met standard questions the city asks for industrial-area projects. The mayor also differentiated among data centers by size and scope when explaining the staff review.

“This was a routine economic development project for an industrial area on the southwest side of town... I think it's important that we define the difference in Data Centers in size and scope.”

Still, social media posts and comments from residents indicate unease about having multiple data centers in the same community. Questions include whether the developments will bring local jobs, how construction and operations will affect utilities, and whether the city should provide incentives. City officials explicitly said there are no city incentives tied to this permit.

Developer says local sourcing planned

Oppidan’s senior vice president of development and data center lead, Drew Johnson, provided a statement that emphasized use of local resources during construction. The company expects to hire local and regional workers and source the majority of materials from Midwest suppliers, according to the statement.

Item Detail
Address 1515 33rd Ave. SW
Square footage 98,695 sq. ft.
Developer CLOP Cedar Rapids IA LLC (Oppidan)
Permit issue date June 22

Why it matters locally

Cedar Rapids residents and leaders are balancing potential economic benefits — construction work, possible maintenance or operations jobs and spending with regional suppliers — against concerns about clustering of large, industrial-scale facilities. The city has two other data center projects underway, and the new permit adds to a statewide conversation about how fast these facilities are growing across Iowa.

The city has not set a completion timeline for the 33rd Avenue project. As the proposal moves forward, residents and neighborhood groups may press for additional public meetings or information about how the center will use utilities, handle stormwater and integrate with surrounding industrial sites.

Local officials say the permit complied with existing zoning and review procedures; developers say they plan to use area labor and Midwest suppliers. Those answers will likely shape how this project is viewed in Cedar Rapids as others in the sector proceed across the state.

Hannah Sorensen
Hannah AI Iowa Correspondent online

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