ROCHESTER HILLS — A new data center and artificial intelligence institute at Oakland University is moving forward.
The university’s Board of Trustees voted 7-1 June 26 to move the project into a formal due-diligence period to examine finances, environmental impacts and infrastructure needs. Trustee Stefen J. Welch abstained from the vote.
A central driver for this project, according to University Senior Vice President for Finance and Administration Stephen Mackey, is the modernization of campus infrastructure and the optimization of existing academic space. A new data center would allow the university to move its existing data center from Dodge Hall, which would create more academic laboratory space in that building.
Amy Banes-Berceli, vice provost at Oakland University, added that the faculty have made it clear that advanced computing infrastructure is a baseline requirement to support both next-generation research and the student learning experience.
“This project will provide students with high-performance computing clusters standard in today’s workforce, while enabling OU to meet the technical thresholds required to compete for federal research funding,” Banes-Berceli said in a statement.
The project, according to the university, would also allow OU to better compete for federal grants and support advanced academic programs, as computational demands grow across research and teaching.
OU is exploring the project through a public-private partnership model with Fairmount Properties, meaning it will be built at no capital cost or operational risk to the university.
A dedicated portion of the facility will exclusively serve OU, while the remaining space can be sub-leased to industry partners, generating revenue and creating student internships and applied research pipelines.
Board of Trustees Chair Brian Calley said the project is “a transformative” opportunity to elevate Oakland University as “a premier regional destination for technological innovation.”
“By leveraging this unique partnership, we can open direct pathways to high-tech jobs and internships for our students while driving collaborative economic growth across the region.”
Some Oakland University students — including the Student Congress, which passed a resolution opposing the center’s development in September — have voiced concerns about that data center’s environmental impact, proximity to both the campus biological preserve and the Native American Heritage Site, and more.
The AI Institute and Data Center was originally planned for the P-35 parking lot, just off Pioneer Drive, at the southwest end of campus. However, the latest plan shifts the proposed center across the street to Parking Lot 37, which is farther away from nearby buildings, a nature preserve, and a Native American Heritage site. Lot P-35 would be actively rewilded into natural habitat, according to the university.
University officials said the proposed facility would be significantly smaller than “hyperscale data centers,” at about 15 acres in size, and would only use about 2% of the power and less than 2% of the land that the larger operations typically consume.
The due diligence phase, Calley added, will allow the university to gather the hard data needed to thoroughly address the community’s environmental and infrastructure questions.
Development agreements will be drafted this summer, and formal due diligence scheduled to begin in October.
The university also plans to form a new steering committee, including students, faculty, and university leadership to guide the project forward.
For more information or feedback on the data center project, contact Oakland University at datacenter@oakland.edu.