January 30, 2026

Microsoft Plans Extensive Data Center Expansion in Racine County

By:
Dallas Bond

Microsoft Corp. is significantly increasing its presence in Racine County, Wisconsin, with plans for 15 additional data centers and a total expansion of 8.7 million square feet in the area.

On January 21, the Mount Pleasant Village Plan Commission unanimously approved Microsoft's site plans for this ambitious new development. The proposal now moves to the full village board for final consideration. If fully approved, this would mark Microsoft’s largest expansion in Wisconsin since it first established operations in the area.

Details of the Expansion

Microsoft has committed over $7.3 billion in the first phase of its data center campus in Racine County, focusing heavily on supporting artificial intelligence initiatives. These new developments suggest that Microsoft could continue to increase its investment as the demand for data center capacity grows.

The proposed sites for the expansion are located on Durand Avenue and International Drive in Mount Pleasant. At the Durand Avenue site, Microsoft plans to construct up to nine data centers with additional office space, each building covering 579,796 square feet. The plans also outline a 96,000-square-foot office and storage building, along with other accessory structures.

The second proposed site on International Drive includes plans for six data centers, each up to 568,103 square feet, along with a 74,000-square-foot office and storage facility and other accessory buildings.

Timeline and Construction Plans

Microsoft has not provided a specific timeline for the construction of these facilities. A company statement said, "Microsoft has proposed an expansion in Mount Pleasant, with plans submitted for two additional datacenter campuses on land we purchased in 2024. These preliminary plans are the next step in our years-long development process and we look forward to sharing more about our specific plans as we go forward as we've done for our first two sites in May 2024 and September of 2025 respectively."

Currently, Microsoft is completing its first data center in the area, with multiple buildings already constructed. Groundbreaking on a second data center is scheduled to begin later this year.

Regulatory Requirements

As part of the approval process, Microsoft must adhere to conditions set by Mount Pleasant village staff. These conditions include compliance with architectural, lighting, and parking standards, as well as meeting regulatory requirements from the Racine Water Utility, Mount Pleasant Sanitary Sewer Utility, and the Wisconsin Department of Natural Resources. This ensures that water usage and discharge comply with local utility systems and watersheds.

A Massive Undertaking

If Microsoft’s plans come to fruition, nearly 20 buildings will be constructed in Racine County over the coming years. To put the scale of the project into perspective, each planned data center is more than double the size of a typical 200,000-square-foot Walmart Supercenter. With 15 proposed data centers, the total square footage is equivalent to roughly 40 Walmart Supercenters.

The land Microsoft is utilizing for its data centers was originally intended for a large Foxconn campus. However, after those plans fell through, the site became available, providing Microsoft with the opportunity to establish and expand its operations in the region.

In 2025, Microsoft briefly paused construction on its first data center, citing the need to assess demand for AI and to determine the most appropriate type of facility to build for the second phase. Despite this pause, the company's commitment to developing in Mount Pleasant remains strong.

With this extensive expansion, Microsoft is poised to solidify its presence as a major player in Racine County’s economy while supporting its global AI and data initiatives. The future developments will undoubtedly bring further activity and investment to the region.

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Keywords:
Microsoft,data centers,Mount Pleasant,Racine County,Walmart Supercenters

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