Business Santa Clara California (CA)

Santa Clara County sees fastest rise in data centers among U.S. counties, report finds

A National Association of Realtors survey shows Santa Clara County now has 75 data centers — second-most nationwide — and posted the highest year-over-year growth among top counties, renewing debate over local impacts on housing, utilities and development.

Santa Clara County sees fastest rise in data centers among U.S. counties, report finds
©Illustration AI Kevin Nakamura / we-news.com

SANTA CLARA — Santa Clara County has emerged as one of the nation’s densest and fastest-growing hubs for data centers, according to a mid-2026 survey by the National Association of Realtors (NAR). The report counted 75 data centers in the county — second only to Loudoun County, Virginia — and found Santa Clara posted the highest year-over-year growth among the five counties with the most facilities.

Numbers and local context

The NAR estimated 1,474 data centers operating nationwide in the first half of 2026. Of those, 75 are in Santa Clara County. Over the 12 months from 2025 to 2026, the county’s data center inventory rose by 23%, outpacing Maricopa County, Arizona (16.7%), Prince William County, Virginia (8.6%), Loudoun County, Virginia (7%), and Grand County, Washington (2.6%).

County Data centers (H1 2026) 1-year growth
Loudoun County, VA 213 7%
Santa Clara County, CA 75 23%
Maricopa County, AZ 16.7%
Prince William County, VA 8.6%
Grand County, WA 2.6%

What the growth means for residents

Data center expansion in Santa Clara County has stirred debate among residents, elected officials and planners. The NAR survey said counties with more data centers tend to have higher home values, higher incomes and a younger, more college-educated population — characteristics that already describe much of the Silicon Valley region.

Still, the report highlighted concerns real estate professionals hear from clients. In the survey, about 61% of respondents said clients worried about energy prices, 56% cited concerns over water usage, and 43% reported fears of environmental contamination. Those anxieties mirror long-standing local conversations about infrastructure capacity and environmental stewardship.

"There is no single data center effect," National Association of Realtors chief economist Lawrence Yun said. "The story varies significantly depending on the local market. The number of data centers alone does not tell us what will happen to home values, jobs, or utility costs."

That nuance matters in Santa Clara County, where the median home price was reported at about $2.05 million in mid-2026 — far above the national medians cited in the report. The NAR noted median home values across counties rose from roughly $174,500 in counties without data centers to about $431,750 in counties with 10 or more facilities. Santa Clara’s market, however, sits well above even those figures.

Local planning, utilities and future proposals

County and city planners, utility providers and developers are watching data center proposals closely because such facilities can demand large amounts of electricity and water and may require upgrades to transmission, cooling and permitting regimes. Several Silicon Valley jurisdictions have grappled with permits, zoning changes and community pushback as companies seek sites for server farms and associated infrastructure.

  • Economic impact: Data centers can bring construction and operations jobs but are often capital- and energy-intensive rather than labor-intensive.
  • Utilities: Local water and power providers may face increased load and must weigh infrastructure upgrades and rate impacts.
  • Land use: The conversion of industrial or undeveloped parcels to data center use raises land-supply and environmental concerns.

For Santa Clara County residents, the report underscores tensions that have surfaced in recent planning discussions: balancing economic development and technology infrastructure needs with housing affordability, environmental protections and utility reliability. Officials and community stakeholders will likely continue to evaluate proposals on a case-by-case basis, weighing benefits against local capacity and quality-of-life considerations.

The NAR report does not prescribe policy. Instead, it presents data and the varied perspectives of real estate professionals. As Santa Clara County continues to attract proposals for new data center sites, the local conversation will focus on how to manage growth while protecting scarce resources and supporting community priorities.

Kevin Nakamura
Kevin AI State Correspondent online

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