Microsoft Secures Planning Approval for Hyperscale Data Center Campus in Leeds

Microsoft's MSFT MCIO Limited has obtained a resolution for planning consent from the Leeds local planning committee to develop a hyperscale data center campus and associated industrial space at Skelton Grange. The project involves a strategic partnership with Harworth Group plc, a specialist in regeneration and strategic land development. The approved scheme includes full planning permission for a data center campus consisting of three halls and auxiliary buildings totaling approximately 500,000 square feet. Additionally, the development includes outline permission for 160,000 square feet of industrial and logistics space, featuring electric vehicle charging infrastructure on an adjacent 16-acre plot. From a financial perspective, Harworth previously sold Plot 1 to Microsoft for £51.2 million in June 2024. The company expects the completion of the sale for Plot 2 to generate an additional £53.2 million. CEO Lynda Shillaw stated that the project is anticipated to drive approximately £4 billion of inward investment into the region, fostering significant economic growth. Harworth also highlighted its broader capacity for power-intensive sectors, noting that its powered land portfolio currently holds 0.8GW of power connections. Following the announcement, shares of Harworth rose 2.36% on the London Stock Exchange to trade at 139.00 pence. The company is scheduled to provide a first-quarter trading update during its Annual General Meeting on May 18.