{"id":461657,"date":"2026-06-24T14:17:34","date_gmt":"2026-06-24T04:17:34","guid":{"rendered":"https:\/\/www.vibewire.com.au\/?p=461657"},"modified":"2026-06-24T14:17:36","modified_gmt":"2026-06-24T04:17:36","slug":"how-a-tech-giant-is-taking-over-a-future-suburb-near-geelong-for-a-hyperscale-data-centre","status":"publish","type":"post","link":"https:\/\/www.vibewire.com.au\/?p=461657","title":{"rendered":"How a tech giant is taking over a future suburb near Geelong for a Hyperscale Data Centre"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Australian data centre giant NextDC has bought $165 million worth of land earmarked for thousands of new homes on the outskirts of Geelong, in a move likely to intensify debate over the rapid expansion of such centres around Victoria.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Property settlement documents seen by&nbsp;<em>The Age<\/em>&nbsp;reveal a new subsidiary of ASX-listed NextDC finalised the purchase of 169 hectares in Lovely Banks, about 13 kilometres north-west of the Geelong CBD, this month.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The site, which was sold off-market through Colliers and previously marketed as Geelong Rise, was pitched to investors in 2022 as allowing for up to 2105 residential lots subject to council approval. It is part of a greenfield area where there is a future residential precinct structure plan under development.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The City of Greater Geelong has warned <a href=\"https:\/\/www.vibewire.com.au\/?tag=nextdc\" target=\"_blank\" rel=\"noopener\" title=\"NextDC\">NextDC<\/a>\u2019s land buy-up could undermine the city\u2019s ability to meet its housing targets, amid growing council concerns about data centre development in the region.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">How can a major data centre builder and operator take residential land and look to redevelop without the local approval of the council?  There is land available pour to the west of Geelong for developments such as this.  <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Is the problem really the council?  Why hasn&#8217;t the Geelong Council already set aside land for Data Centre Development in Geelong?  if this is not done then of course developers will find what they can.<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">NextDC has not responded to multiple questions about the purchase or the company\u2019s intention for the site.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The large-scale purchase came as 36 mayors from around the world, including Melbourne Lord Mayor Nick Reece, made a joint pact in London for Climate Action Week that data centre growth will not be detrimental to communities or the planet.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">So why is this stupid comment in the article?<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">Reece said local communities should be involved in decisions that affect them, meaning growth must be matched by responsible planning.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Victorian councils, however, are limited in their ability to push back or implement their own planning controls for data centres, as most such centres are approved directly by the planning minister through the state government\u2019s development facilitation program.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This program allows the Victorian government to bypass local government planning regulations and takes away community appeal rights for projects it deems of economic significance.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Draft urban structure plans, which are subject to change, show the land bought by NextDC at 155 Robbs Road and 675-775 Evans Road is mostly located in an area of Lovely Banks, where the future land use is listed as residential.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Most of the land is currently zoned as part of the urban growth area, while about half of 155 Robbs Road is currently zoned as farmland.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The masterplan for Lovely Banks, which is within the Northern Geelong Growth Area, allows for more than 15,000 new homes over a number of neighbourhoods.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>NextDC\u2019s transition into land master-planned for residential communities marks a significant shift away from industrial parks or pure farmland, and sets up a new front for community opposition to data centres.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The land in Lovely Banks is near a high-voltage transmission line, which is important for large-scale data centres to ensure they have access to the stable and high-capacity electricity they require to run.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">Looking simply at a MAP of the area there are other locations on the high voltage network in the Geelong area.<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">Documents seen by&nbsp;<em>The Age<\/em>&nbsp;show the site was bought by NEXTDC M5 Holdings Pty Ltd, a corporate entity established by NextDC in May. It hints that the tech heavyweight could be quietly planning its next major Victorian hyperscale data centre hub at the site.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">Geelong is a great place for higher technology developments as there is a university and land and power available which is vital for data centres.  Moving those developments out of Melbourne is a sound idea as it assists with regional job growth.<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">The technology heavy hitter names its facilities sequentially by city \u2013 with Melbourne facilities having the names M1 to M4.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">While the company has not officially announced a fifth hyperscale location in Victoria, investor presentations from last year show it has an M5 project listed as \u201cunder evaluation\u201d.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">Reading the press Victoria is positioning as a major Data Centre hub for this geographic region making it a sound investment for the company.  Data Centres work best in cooler climates and where access to other telecoms infrastructure is available to connect users to the data the centres hold.<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">The Allan government has strongly backed NextDC\u2019s existing projects in Melbourne, fast-tracking the approval of a $2 billion Port Melbourne hyperscale data centre earlier this year.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>NextDC chief executive Craig Scroggie, alongside Economic Growth Minister Steve Dimopoulos, is set to appear at a government-sponsored major global data centre industry conference in Melbourne in September.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Jago Dodson, a professor of urban policy and director of the centre for urban research at RMIT University, said the land aquisition would be likely to raise some eyebrows.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">He said it could be an attempt to \u201cplan bust\u201d and influence the finalised zoning of the future precinct structure plan, which is yet to be approved by the state government.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cOr it could be an attempt to be proactive and be a good citizen, to manage future impacts through a proactive approach to the local land market, creating a buffer between any data centre and residential areas,\u201d Dodson said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">City of Greater Geelong chief executive Ali Wastie said the council had growing concerns about data centre development in the region and feared the recent land sale in Lovely Banks could jeopardise housing targets.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">Why would they have concerns?  They are driving jobs and investment 1000&#8217;s of jobs,  He would be more concerned with that particular investment not &#8220;data centre investments&#8221; surely?<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">She said the council welcomed investment in data centres where they supported future industries, innovation and technology jobs, but said they needed to be in the right locations.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">Exactly!<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThis land is identified for future housing, and large-scale data centre use is likely to undermine extensive strategic planning work completed to data and compromise out ability to meet Geelong\u2019s long-term housing needs,\u201d Wastie said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cFuture residential precinct structure plans are expected to play a key role in delivering Plan for Victoria\u2019s housing target for Greater Geelong of 128,600 new homes.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>The council has not met with NextDC about the land purchased in Lovely Banks.<\/strong><\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">Great example of how NEXTDC are not engaging on community and municipality discourse around the best locations for Data Centres, although I am aware Geelong City Council like many others would be hard to deal with and have no real answers or strategy for the style of this investment,<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">Greens MP for Western Victoria Sarah Mansfield said it was a \u201chuge red flag\u201d that a data centre company was buying up the land in the middle of a housing crisis.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe Greens are calling for a halt on all new AI data centres until communities are meaningfully consulted and there is a plan to prevent harm to the environment, cultural heritage and our climate,\u201d she said.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\">The Greens are now increasingly irrelevant in Australia.  They are opposed to all things that create jobs and provide progression for Australia.  The only thing they support and crippling Tax Changes for business.<\/p>\n<\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cJacinta Allan\u2019s Labor government has rolled out the red carpet for hyperscale AI data centre corporations with no regard for the impact on local communities, cultural heritage, renewable energy targets and the environment.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The Coalition has criticised the government for long delays in approving precinct structure plans in Geelong\u2019s growth areas and getting homes built.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Liberal planning spokesman David Southwick said the Lovely Banks development showed Labor had \u201craised the white flag\u201d on delivering homes in Geelong.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cFor a decade under Labor, delays and red tape have resulted in areas earmarked for housing remaining empty paddocks \u2013 meaning higher prices and less housing choice for Victorians,\u201d he said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A spokeswoman for Planning Minister Sonya Kilkenny said the government had not received a formal planning application for the Lovely Banks site.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cAny future proposal will be assessed on its merits and in accordance with the relevant planning scheme,\u201d she said.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">NextDC and the City of Greater Geelong were contacted for comment.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Australian data centre giant NextDC has bought $165 million worth of land earmarked for thousands of new homes on the outskirts of 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