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New $40M high-performance computing facility coming to Birmingham

New building permits totaling $40 million have been issued for a major data center project planned in Birmingham’s Oxmoor area.

Major Data Center Project Moves Forward in Birmingham

Three construction permits were issued for the Nebius AI data center, which will be developed on the site of the former Regions Lakeshore Operations Center at 201 Milan Parkway. The project is being led by Hoar Construction and represents a planned 300-megawatt facility designed for advanced computing needs.

 

The permits mark continued progress on a project that has already seen demolition approvals earlier in the year, followed by early construction phases. The development will replace an existing corporate facility in the Oxmoor Corporate Park area.

Facility Designed for AI and High-Performance Computing

The planned data center will support artificial intelligence workloads and high-performance computing systems. Developers say the facility will play a role in expanding digital infrastructure capabilities in the region.

 

Officials estimate the project will create about 100 jobs once operational. The investment reflects growing demand for large-scale computing infrastructure driven by AI and cloud-based technologies.

Part of Broader Wave of Alabama Construction Activity

The Birmingham permits were part of a larger set of high-value construction projects issued across Alabama in the same week. Additional developments were approved in cities including Auburn, Cullman, Huntsville, Gadsden, and other Jefferson County communities.

 

Other projects included residential developments, commercial construction, and infrastructure upgrades, reflecting continued construction growth across the state. Birmingham accounted for some of the largest individual permit values in the statewide list, driven largely by the data center investment.

 

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