Mount Prospect data center developer prepared to donate $3 million for recreation, street upgrades

Mount Prospect trustees are expected to approve an agreement Tuesday with data center developer Cloud HQ that would channel $3 million in developer contribution toward a shared-use path, street lighting, crosswalks and recreational facilities.

Under the agreement, Cloud HQ would contribute $1 million toward improvements along Algonquin Road, including a multiuse path, street lighting and upgraded crosswalks and signals at Algonquin and Linneman roads.

An additional $2 million would be dedicated to the Mount Prospect Park District, funding construction of a splash pad and related improvements at the RecPlex.

The agreement comes on the heels of the board’s approval last month of revisions to Cloud HQ’s plan for the $2.5-billion data center campus on the former United Airlines headquarters property bounded by Dempster Street, and Linneman and Algonquin roads.

The revised plan consolidates the three buildings originally approved in 2022 into two larger facilities.

Village staff estimates the project will produce more than $7 million annually in electricity tax revenue once both buildings are fully operational.

Staff also expects the project to generate more than $100 million in tax increment financing district money — enabling the village to invest funds into infrastructure and improvements in the southern portion of town.

Completion of the first building is targeted for 2027, while delivery of the second build is slated for the end of 2030.

“I am incredibly excited that this is moving forward now,” Mayor Paul Hoefert said at the Oct. 28 village board meeting. “We’re activating a large site that hasn’t been active in a lot of years. The annual economic positive impact on the village, once everything’s built and going along, is going to be huge. I think that will help us stay off property taxes in a big way.”