Goodman, DataBank Partner on 32-MW LA Data Center

Why It Matters

Adding 32 MW eases the chronic power shortage in the Los Angeles data‑center market, enabling more cloud and enterprise workloads. It also highlights a growing trend of joint‑venture development to accelerate supply in high‑demand regions.

Key Takeaways

• 32 MW Vernon data center opens Dec 2026, full by Sep 2027.
• Goodman’s $12.4 B global data‑center pipeline includes this LA project.
• DataBank will operate the site, expanding its L.A. footprint.
• JV aims to replicate model in other constrained U.S. markets.
• Project alleviates power scarcity, supporting enterprise digital infrastructure.

Pulse Analysis

Los Angeles remains one of the nation’s most power‑constrained data‑center hubs, with demand outpacing the limited utility capacity. Enterprises and cloud providers have faced premium electricity rates and limited site options, prompting developers to seek innovative financing and partnership structures. The Vernon project, delivering 32 MW of low‑latency capacity, directly addresses this bottleneck, offering a new tier of reliable power for latency‑sensitive applications such as fintech, media streaming, and AI workloads.

The joint venture between Goodman Group and DataBank combines Goodman’s massive capital base—part of a $12.4 billion global development pipeline—with DataBank’s operational expertise and deep relationships with over 2,500 enterprise customers. By allocating the first 6 MW in December 2026 and scaling to full capacity by September 2027, the partnership demonstrates a phased rollout strategy that mitigates risk while meeting immediate market needs. DataBank’s role as operator ensures that the facility will be integrated into its existing service platform, providing customers with immediate access to robust connectivity, security, and managed services.

Beyond Los Angeles, the Vernon JV serves as a template for addressing supply constraints in other high‑growth metros such as New York, Chicago, and Dallas. Replicating this model could accelerate the rollout of critical digital infrastructure, reduce time‑to‑market for new enterprise workloads, and potentially stabilize regional power pricing through economies of scale. As digital transformation accelerates, developers that can swiftly deliver power‑rich, low‑latency sites will capture a competitive edge, reshaping the data‑center landscape across the United States.