The Proposed AVAIO Data Center
Frequently Asked Questions
Where is the proposed AVAIO data center?
AVAIO says the project is located along 145th Street in unincorporated Pulaski County and covers approximately 760 acres.
The property is divided into two major sections: one near Interstate 530 and another connected to 145th Street. The Kinder Morgan natural gas pipeline runs between or through portions of the property.
According to AVAIO, the land was historically used for agriculture, later for timber harvesting and, more recently, for hunting.
The first phase appears to involve the southern portion of the property, covering roughly 300 acres. AVAIO says approximately 70 acres would be disturbed for the initial development, while much of the remaining land would stay wooded.
How large is the project?
The currently described first phase consists of two data center buildings.
AVAIO says it has executed contracts with Nabholz and Yates Construction to move forward with those buildings. However, the frequently cited $6 billion investment is associated with the potential larger project—not just the two-building first phase.
AVAIO has said the full 760-acre site could eventually support approximately 15 buildings and has acknowledged that the property offers significant future development potential.
When did Pulaski County first review the project?
AVAIO says it met with the Pulaski County planning office during the summer of 2024 and submitted a site plan near the end of that year.
According to AVAIO, the plan showed the proposed data center buildings and was reviewed under the county’s subdivision and development regulations. AVAIO maintains that the plan complied with the applicable rules.
AVAIO also says the county’s newer future land use plan identifies the area as I-1 industrial and lists data centers as an allowed use in that category.
What permits and environmental reviews have been completed?
AVAIO says it has received a driveway permit from Pulaski County Road and Bridge and approval of its Stormwater Pollution Prevention Plan from the Arkansas Department of Energy and Environment’s Division of Environmental Quality.
The company also says it submitted an application for a nationwide permit to the U.S. Army Corps of Engineers approximately six months before the May 26 Quorum Court meeting.
According to AVAIO, that review included environmental, historical, cultural and rare-species studies. AVAIO says the identified wetland impact is limited to three culverted stream crossings totaling less than one-tenth of an acre.
How will the project receive electricity?
AVAIO says it began discussions with Entergy in early 2024 and paid for studies examining whether the electric grid could serve the project, including possible contingency impacts.
AVAIO says it now has an executed electric services agreement with Entergy.
According to AVAIO, the agreement requires the company to pay the project’s interconnection costs and necessary infrastructure upgrades. AVAIO also says Entergy determined that the project could be served without negatively affecting the grid.
The agreement itself and the full findings of the grid studies have not been publicly detailed.
Will the project use the Kinder Morgan natural gas pipeline?
Not as part of the currently described first phase.
At the May 26 Quorum Court meeting, AVAIO acknowledged that the pipeline contributed to the site’s future development potential. The company said it could eventually work with a partner interested in developing some form of natural gas generation.
AVAIO also said it does not currently have approval to use the gas line and described natural gas generation as a possible future development.
Importantly, AVAIO did not say that any future natural gas use would be limited to emergency backup generators.
How much water would the data center use?
That depends heavily on the cooling system selected.
AVAIO says Central Arkansas Water has provided a letter stating that the existing system could supply the project with as much as 1 million gallons per day.
The first two buildings are currently designed to use a closed-loop, air-cooled system. Under that design, AVAIO estimates water use at approximately 20,000 gallons per day, primarily for plumbing and irrigation.
However, if a future tenant requires evaporative cooling, AVAIO says water demand could average approximately 200,000 gallons per day and reach 1 million gallons on a peak day.
Because the final tenant has not been identified, the project’s ultimate water use remains uncertain.
Where would the project’s wastewater go?
For the currently proposed air-cooled buildings, AVAIO says wastewater would mainly consist of ordinary sanitary sewage from bathrooms and plumbing.
That wastewater would go to the 145th Street Sewer District. AVAIO says it hired the district’s engineer, who determined that the treatment plant has enough capacity for the first phase’s sanitary needs.
The situation would be different if evaporative cooling were used. AVAIO says cooling-related discharge could not be sent to the local wastewater treatment plant. It would instead have to be treated on-site and discharged under an Arkansas DEQ permit.
The wastewater impact therefore depends on the cooling system ultimately chosen by the tenant.
How noisy would the data center be?
AVAIO says the main potential noise sources are cooling equipment and emergency backup generators.
The company says cooling equipment would use low-noise fans and be placed within a buffered equipment yard. Backup generators would be enclosed and muffled.
AVAIO says the nearest residential property line is approximately 800 feet from the closest building and that existing vegetation would remain as an additional buffer.
According to AVAIO, a noise study found that noise would remain below 55 decibels at all property lines, even while backup generators were operating. AVAIO also said normal cooling operations would be essentially inaudible off-site.
AVAIO agreed to share the study or its conclusions, but the complete study has not yet been made public.
Who will operate the data center?
That is not yet known.
AVAIO is the project developer, not necessarily the company that will ultimately operate the data center. AVAIO said it hopes to lease the property to a large-scale technology company such as Google, Meta, Amazon Web Services or a similar user, but no tenant has been publicly identified.
The tenant would install the computing equipment and could either assume AVAIO’s electric service agreement or receive power through an arrangement with AVAIO.
The tenant matters because it may determine the project’s final power demand, cooling system, water use and operational model.
Will AVAIO receive tax incentives?
AVAIO says it intends to pursue any state or local incentives for which the project qualifies.
The company has also said it has discussed sales tax exemptions with the Arkansas Economic Development Commission.
AVAIO estimated that, even with maximum incentives, the first two buildings could generate approximately $6.7 million per year in property taxes from AVAIO’s improvements and approximately $10.5 million per year once tenant-owned equipment is included. AVAIO estimated that roughly 80% would go to the school district.
However, AVAIO was unable to explain exactly what portion of the investment would remain taxable, how long the incentives would last or whether the tax revenue would fully cover the public infrastructure and service costs associated with the project.
Who owns AVAIO?
AVAIO is privately owned and does not publicly identify all of its investors.
When questioned about the company’s ownership, AVAIO’s representative said some investors prefer not to be disclosed and said he was not a financial expert.
As a result, important questions remain about the project’s investors, financing structure, ownership interests and long-term accountability.
What environmental features has AVAIO promised?
AVAIO says the buildings are being designed to meet LEED Silver standards, although certification would not occur until after construction is complete.
The company has also discussed:Rooftop solar panels to power administrative areasRainwater collection for irrigationDark-sky-compliant lightingBeehives and pollinator-friendly areas
Those measures could reduce some environmental effects if they are fully implemented. However, they do not resolve broader questions involving the full buildout’s power demand, water use, wastewater discharge, tax incentives and infrastructure needs.
Is there a plan to decommission the site?
Not currently.
When asked what would happen if the data center became obsolete, lost its tenant or was abandoned, AVAIO said it had focused on commissioning the project rather than decommissioning it.
The company said industry demand is currently strong but indicated that it would be willing to discuss a decommissioning plan in the future.
At this time, there is no publicly described plan covering building removal, site restoration, financial responsibility or what happens if the project is abandoned.
Project Timeline
AVAIO begins working with Entergy
AVAIO starts discussions with Entergy and pays for studies of whether the electric grid can support the project.
AVAIO meets with Pulaski County planners
A site plan is submitted to the county
Federal environmental review begins
Permits, agreements and construction plans move forward
AVAIO says it has:
- A county driveway permit
- An approved stormwater pollution plan
- An executed electric services agreement with Entergy
Contracts with Nabholz and Yates Construction - Confirmation of sewer capacity for the first phase
- A letter stating Central Arkansas Water can provide up to 1 million gallons per day
Regulations sent away for further review
JPs Julie Blackwood and Tina Ward introduced measures that would treat data centers as large-scale, high-impact industrial developments and create stronger county oversight.
Judge Wendell Griffen spoke in support of greater regulation and transparency.
Instead of advancing the measures, JP Phil Stowers moved to send them to the Pulaski County Planning Board for a 90-day review. That motion passed.
The court heard extensively from Entergy, Central Arkansas Water, the Little Rock Regional Chamber and representatives aligned with the data center industry. Residents were not given equivalent time to respond.
Emergency moratorium fails
The Quorum Court considered a 12-month emergency moratorium on approvals for new data centers and expansions in unincorporated Pulaski County. Before voting, the court amended the measure to exempt the two projects already underway: Google at the Port of Little Rock AVAIO’s Project Leo near 145th Street and I-530 The meeting lasted approximately 4½ hours, with roughly three hours devoted to presentations from county officials, utilities, the Chamber and industry representatives. The public was not allowed to comment before the vote. The vote was: Yes: Davis, Capps, Lewison, Blackwood, Person, Massey, Stowers and Medlock No: Curry, Keith, Young-Baker, Robinson and Elliott Present: Ward and McCoy The measure received 8 yes votes. It was initially treated or reported as having passed, but the parliamentarian later determined that an emergency ordinance required 10 affirmative votes. The moratorium therefore did not pass.
Court delays the moratorium
Planning Board hearing
This was not a Quorum Court meeting, but it was a direct result of the court’s May 12 decision.
The Pulaski County Planning Board held its first public hearing on the proposed data center regulations. A second Planning Board hearing was scheduled for July 23.
Moratorium returns
The Quorum Court is scheduled to debate the moratorium again.
Take Action Now
Make your voice heard at the next Pulaski County Quorum Court Meeting.
Attend the next City Board of Directors Meeting Find your Justice of the Peace