San Jose Mayor Matt Mahan is advocating for permanent environmental protections for more than 500 acres of open space located around a former technology research center that is being purchased by a data center developer. At an October 16 meeting of the Santa Teresa Foothills Neighborhood Association, Mahan announced his collaboration with District 10 Councilmember George Casey to protect the 565 acres of open space. This land surrounds the 35-acre industrial park of the former IBM Almaden Research Center, situated in the rolling hills of Coyote Valley. Blackstart Digital, a firm focused on data center development and investment, is acquiring the site.
The Mayor highlighted that residents are rightly upset that when IBM originally built the campus, "they said that they intended for the open space to be in perpetuity." However, Mahan noted, no legally binding easement was ever created. With a new owner, the Mayor stated, "we are going to push them as hard as we possibly can to actually adopt a permanent conservation easement." Mahan emphasized his desire to limit future development to the industrial park's existing size, stating, "I don’t think we want to see an expanded footprint. We want to protect the open space."
Erik Schoennauer, a land use consultant representing Blackstart Digital, confirmed that both Mayor Mahan and Councilmember Casey have clearly expressed their desire for the open space to be protected. Schoennauer added that the firm looks forward to collaborating with city officials to achieve this goal, specifying that their project proposes to use only the existing 35 acres of developed industrial park land. A Blackstart Digital spokesperson previously indicated the company has no intention of developing the surrounding open space.
The proposed project will need to comply with new data center standards currently being developed by the city. Schoennauer mentioned that these standards are expected to include protections for the environment and nearby residents. Draft standards have already been released by city officials, with final adoption by the City Council anticipated in December.
Resident Duane Caldwell, who attended the neighborhood association meeting, expressed concerns about the potential impacts of a new data center at the former IBM site. Caldwell worried about effects on wildlife, water, and energy use. He suggested that increased lighting and noise could displace wildlife into residential areas and potentially lead to higher utility bills for residents. Caldwell also voiced apprehension regarding the swift rezoning of the IBM Almaden research facility to accommodate a speculative developer, concerned about increased impact on very sensitive foothills.
In August, councilmembers rezoned the property, a decision that raised concerns among residents and environmental advocates about attracting more data centers to the area. These groups had called for a delay in rezoning until specific development plans were known and uniform standards were in place. Councilmember Casey, whose district includes the site, previously expressed a desire for the land to be economically feasible and saw no reason to postpone the rezoning.
Mayor Mahan acknowledged residents' valid concerns about data centers, including potential increases in utility costs, noise, and pollution. He expressed a strong ambition for San Jose, stating, "I want San Jose to have the strictest data center standards in the country." Mahan outlined specific requirements he envisions, including 100% clean energy and the use of recycled water from the North San Jose recycled water plant or a closed-loop system.
Alice Kaufman, policy and advocacy director for the environmental group Green Foothills, supported the idea of codifying permanent conservation for the open space. While appreciating the city's efforts to create data center standards, Kaufman noted that the current proposals do not fully address noise impacts on wildlife. She pointed out that the city’s zoning code allows data centers adjacent to open space to adhere to the weakest noise standards, a situation Green Foothills seeks to change. Kaufman underscored the significance of the land, stating it is "important open space" and "part of our regional wildlife corridor." She suggested that an ideal outcome would involve deeding the land to an open space district or habitat agency, which could steward and manage it specifically for the benefit of wildlife, investing necessary resources into its preservation.
The former IBM site is already equipped with an on-site 25-megawatt substation and includes multiple generations of existing data center facilities, which Blackstart Digital intends to expand, subject to power availability. The ongoing discussions highlight the balance between economic development and environmental protection in San Jose's expanding urban landscape.









