Goodman San Jose AI Data Center: What San Jose Residents Should Know
Written by: San Jose CAN
July 15, 2026
The proposed Goodman San Jose AI Data Center is one of the largest planned artificial intelligence data center projects in San Jose. If completed, it will add a significant amount of computing capacity to Silicon Valley and will support the rapidly growing demand for AI, cloud computing, and high-performance computing.
Unlike some other projects in San Jose that have already broken ground, the Goodman project remains in the planning and permitting stage.
Project Overview
| Item | Information |
|---|---|
| Developer | Goodman Group (Australia) |
| Project Name | Goodman Innovation Centre San Jose |
| Type | AI / Hyperscale Data Center Campus |
| Location | 350 and 370 West Trimble Road, San Jose, California |
| Land Size | Approximately 45.8 acres |
| Proposed Buildings | Two data center buildings |
| Total Building Area | Approximately 414,000 square feet |
| Planned Power Capacity | Up to 97.3 megawatts (MW) |
| Estimated Completion | Target by 2028 |
| Current Status | Proposed / Planning and permitting (goodman.com) |
The project is located at:
- 350 West Trimble Road
- 370 West Trimble Road
The property sits within San Jose’s industrial district near the border with Santa Clara and close to U.S. Highway 101, Mineta San José International Airport, and numerous existing technology campuses. The location has long been used for industrial and research facilities.
What Is Being Proposed?
Goodman purchased the property in October 2025 for approximately $200 million.
Instead of leaving the existing industrial property unchanged, Goodman plans to redevelop it into what it calls the Goodman Innovation Centre San Jose.
The redevelopment would include:
- Two AI data center buildings
- Approximately 414,000 square feet of data center space
- Existing warehouse and advanced manufacturing space
- Electrical infrastructure capable of supporting up to 97.3 MW of computing power
Goodman states the campus is intended to serve hyperscale cloud and AI customers. [Goodman]
How Large Is 97 Megawatts?
A 97.3 MW data center would rank among the larger facilities in Silicon Valley.
For perspective:
- One megawatt equals one million watts.
- Nearly 100 MW can support tens of thousands of high-performance AI GPUs, depending on equipment and operating conditions.
- Facilities of this scale typically require major electrical infrastructure and extensive cooling systems.
Project Timeline
October 2025
Goodman announced the purchase of the 45.8-acre property.
October 2025
The company publicly announced plans for a two-building AI data center campus.
2026
The project remained in the planning and permitting process. San José requires a Special Use Permit for data centers, and environmental review may also be required depending on the project’s characteristics.
Target 2028
Goodman has stated that power availability and project completion are targeted for 2028, subject to approvals and construction schedules.
Has Construction Started?
As of July 15, 2026:
No.
The project has been announced and remains proposed. Public sources do not indicate that vertical construction has begun. The City of San José identifies data center projects as requiring a Special Use Permit, and project status can change as permitting advances. [City of San Jose]
Why This Location?
Several factors make the site attractive for AI infrastructure:
- Existing industrial zoning
- Proximity to major fiber-optic networks
- Access to Silicon Valley customers
- Existing electrical infrastructure
- Near major highways and airport
- Large contiguous parcel suitable for campus development
Electricity Demand
The proposed campus would require substantial electrical service.
Large AI data centers generally:
- Operate 24 hours a day
- Run thousands of servers continuously
- Require redundant power systems
- Use backup generators for emergencies
Providing nearly 100 MW of capacity typically requires coordination with utilities and grid operators. [Arxiv]
Water Use
California does not require AI data centers to disclose how much water they will need or use. Therefore, Goodman has not publicly disclosed the expected daily water consumption for this San Jose project.
Actual water demand depends on:
- Cooling technology selected
- Local climate
- AI workload intensity
- Operational practices
Many large AI data centers can require millions of gallons of drinking water to cool their servers. Some estimates suggest that up to 80% of this water will evaporate into the atmosphere rather than return directly to the local water supply. Additionally, there is a risk that wastewater discharged from AI data centers could pollute or contaminate rivers, streams, wetlands, and other waterways if it is not properly managed, potentially threatening wildlife and aquatic ecosystems.
Until detailed environmental and permitting documents are released, the project’s expected water use cannot be stated with certainty. [City of San Jose]
Concerns Raised by Residents and Experts
Across California and the United States, large AI data centers have raised growing public concern over their long-term environmental, economic, and community impacts. Common concerns include:
- High electricity demand and added pressure on the power grid.
- Increase in cost of water and energy to local residents.
- Significant water consumption for cooling, especially during droughts.
- Noise from cooling systems and mechanical equipment.
- Air pollution from diesel backup generators during testing and emergencies.
- Large industrial buildings that change community character and views.
- Heat emissions from high-density computing equipment.
- Increased truck traffic and construction impacts.
- Permanent conversion of industrial land to data center use.
- Loss of land use, threatening our environment, and wildlife.
Many residents also question whether the promised economic benefits justify the long-term costs. Construction can create jobs, but most are temporary and end once the project is completed. After opening, AI data centers typically employ only a relatively small permanent workforce.
Some critics also warn that AI is being developed to automate tasks once performed by people, raising concerns that the same infrastructure creating temporary jobs is built to ultimately replace human workers across many industries.
Another concern is who will pay for the infrastructure needed to support these facilities. Large AI data centers can require major investments in power, water, roads, and utility systems. Although developers can contribute to project-related improvements, utility upgrades and public infrastructure costs have been passed on to customers and taxpayers.
As AI data centers continue to expand, many communities are calling for greater transparency before approvals are granted, including full disclosure of projected water use, electricity demand, environmental impacts, and infrastructure costs.