Renovations to an 88,000 square-foot existing data center at 40 Perimeter Center East and a new tenant would result in a significant boost to Dunwoody’s tax digest, but residents surrounding the 12-acre site said they still worry about the cost to their quality of life.
According to city officials, the property, currently being purchased by Raeden, a California-based company that modernizes and builds out existing real estate and infrastructure for data centers, could conservatively bring in more than $300,000 annually for the city, putting it in the top 10 of commercial revenues after the company finishes its upgrades.
Those upgrades will include, according to Raeden co-founder and president Jason Green in an interview with Rough Draft, a complete gut of the building’s interior, installation of new chillers and generators, and an upgraded power grid, which could cost up to $500 million.
The center will operate within its existing 10 MW (megawatt) approved use when it opens in late December, Green said, but will expand operations to 43 MW after infrastructure and power improvements are complete, possibly in late 2027. Upping the megawatt capacity would necessitate approval from the city.
Residents react
During the Sept. 28 city council meeting, residents complained about the lack of advance notice regarding the demolition of the center’s crumbling parking deck, saying that the noise is scaring nearby wildlife and that the working hours were violating the city’s restricted hours for construction noise.
Charles Goldberg, a 20-year resident of the Dunwoody Springs neighborhood, said he and his neighbors have been hearing “loud, explosive booms” that result in his house shaking, wildlife being displaced, and disrupting his work environment.
“Everyone has been walking around not knowing what’s going on,” he said. “I’m disappointed that the council knew about it and didn’t tell us. You didn’t do your job.”
Other speakers said they believed that the owners had not obtained the proper permits to demolish the property and that the data center would harm the neighborhood because of increased water usage and a drain on available power.
Documents obtained by Rough Draft, however, show that demolition permits were granted on Sept. 15 along with a construction permit for the interior renovation.
History of the center
The data center was originally owned and operated by the Coca-Cola Companies, and later sold to Lincoln Rackhouse in 2017. It has been vacant for the past nine years, according to city officials. Green said he first toured the data center in 2015, thinking it would be a perfect fit for a mid-sized data center.
In 2024, Green said several of his clients indicated interest in the specific capacity of the 40 Perimeter Center East location, and Raeden officials did years of due diligence to ensure it was a good fit.
Company refutes claims
Green said residents’ concerns about increased water and power usage are unfounded because of advances in technology. The center will use a closed-loop water system, meaning that it circulates water through sealed piping to absorb the heat from the data modules, then rejects that heat to outside air while keeping the cooling fluid contained so it can be reused again and again.
The single-source user in the center will be Alembic Technologies, Green said, which has committed to at least a 10-year lease at the facility. Although online sales flyers indicate that the property could be expanded, Green said the building’s “envelope is as big as it will get.”
“We will not be building taller, we’re not building up, and we are not building out,” Green said, adding that the mature foliage surrounding the center will not be disturbed, save the construction of non-climbable fencing around the perimeter.
Regarding residents’ desire for a trail in the area, Green said the company will establish a dedicated walking path outside the fence. The company has contracted with architectural firm Pond & Company to develop a plan for the trail, which will take up to a year for city approval, permits, and construction.
Green said the company intends to be transparent throughout the process, hold meetings with nearby residents and businesses, and conduct a sound study using a third-party vendor to ensure that sound levels will be acceptable to surrounding businesses and residents. The goal, he said, is to maintain decibel levels at 40, equivalent to the hum of a refrigerator, quiet conversation, or sounds inside a library.
“We have nothing to hide and this is not meant to be a mystery,” he said. “This is a project that will be immensely beneficial to the area.”
