Nebius wants to turn a former Regions operations site in Birmingham into a 300 MW “AI factory,” which is effectively a specialized data center with its own new substation and switchyard.
Local pushback has delayed zoning approval, with residents arguing this is industrial-scale infrastructure being dropped into a corporate/office zone, too close to homes and a planned humane society campus.
The 300 MW power draw is the main AI infra signal here, raising questions about where that electricity actually comes from (existing coal or gas plants vs new methane-fired capacity) and what it means for regional grid and emissions, beyond the substation.
Water use and noise are also in play, underscoring the operational realities of hyperscale AI builds that go well beyond GPUs and racks into full community impact.
Nebius is pitching tens of millions per year in tax revenue and hundreds of construction jobs, betting that schools-and-economy arguments will offset environmental and siting concerns.
Alabama is already a growing data center cluster, and this fight shows how AI-specific loads are making permitting, zoning, and power sourcing much more contentious than traditional enterprise builds.
The story is worth a click for the local detail on power, siting politics, and how communities are responding to AI-scale data center proposals.
Source: Birmingham AI factory, data center project vote delayed
