The Westlake Data Center, Explained: What Keller Homeowners Need to Know
Ritchey Realty Logo

The Westlake Data Center, Explained: What Keller Homeowners Need to Know

The Quick Answer

A large data center campus — reported at roughly 1.1 million square feet across four buildings on about 88 acres — has been proposed off U.S. Highway 377 in Westlake, within a few hundred feet of homes in Keller's Lakes at Marshall Ridge neighborhood. Westlake's planning and zoning board approved the site plan on August 6, 2026; Keller's City Council responded with a unanimous resolution opposing the project on August 12, then authorized legal action on August 19. A Tarrant County judge issued a temporary restraining order that same day, with an injunction hearing scheduled for August 26, 2026. As of this writing, the project's final approval is on hold pending that hearing.

If you've seen your neighbors talking about a data center near Marshall Ridge, or you're a buyer looking at homes along the Keller-Westlake line, this is a fast-moving, genuinely contested local story — not a settled fact. Below is what's been reported by local news outlets and the City of Keller's own public updates, with sources linked throughout so you can verify anything here yourself. This isn't a Ritchey Realty opinion piece on who's right; it's meant to help you understand what's actually happening before you form one.

What's Actually Being Proposed

The Project, as Reported

Size & Location
  • Approximately 88 acres, with four buildings totaling roughly 1.1 million square feet
  • Located in the Town of Westlake, off U.S. Highway 377, south of an existing pump station — permitted "by right" under Westlake's existing Planned Development District zoning, meaning it did not require a new zoning change or voter approval
  • Reported as part of a data center campus filed by PowerHouse Data Centers within the broader Circle T-area development in Westlake; the site includes a private electrical substation and backup generators, with an estimated ~75 employees on-site at any given time
Distance to Keller Homes
  • Roughly 500-506 feet from the building line to the nearest Keller backyards — which exceeds Westlake's 150-foot minimum setback requirement, but is far closer than the more than 3,000 feet to the nearest Westlake home
  • The Town of Westlake states the site plan "satisfied every applicable approval requirement and, in several areas, including architecture, setbacks, buffering, and landscaping, exceeded the Town's minimum standards"

Timeline: How We Got Here

  1. July 29, 2026 — The project became public knowledge to nearby residents
  2. August 2, 2026 — The Lakes at Marshall Ridge HOA held a community meeting; Keller's mayor and council members attended
  3. August 3, 2026 — Keller's mayor met directly with Westlake's Town Manager
  4. August 6, 2026 — Westlake's Planning & Zoning Commission approved the site plan
  5. August 12, 2026 — Keller City Council held a special meeting and unanimously adopted a resolution opposing the project and requesting additional protections on construction traffic, stormwater management, and emergency response coordination
  6. August 18, 2026 — Westlake's Town Council was scheduled to take up final approval
  7. August 19, 2026 — Keller City Council unanimously authorized legal action against Westlake, questioning whether state transparency requirements were followed; separately, a Tarrant County judge (342nd State District Court) issued a temporary restraining order after residents petitioned the court
  8. August 26, 2026 — An injunction hearing is scheduled; the case remains open as of this post

Which Neighborhood Is Most Affected

Lakes at Marshall Ridge (Keller)

The Keller neighborhood directly bordering the proposed site
Why this neighborhood specifically
  • Marshall Ridge homes back up most directly to the roughly 500-foot distance from the proposed buildings, making it the neighborhood with the most immediate line-of-sight and proximity impact
  • The Marshall Ridge HOA petitioned the court for the temporary restraining order that paused Westlake's final vote
  • Other Keller residents and the broader city government have engaged as well, but Marshall Ridge is consistently the neighborhood named in reporting as most directly bordering the site

What Each Side Is Saying

Concern Raised (Keller residents / City of Keller) Response Given (Westlake / developer)
Noise, construction traffic, and quality-of-life impact on homes roughly 500 feet away Developer agreed to additional sound mitigation measures; site plan setbacks and buffering reportedly exceed Westlake's minimum standards
Water and electricity consumption concerns for a facility of this size Westlake's public FAQ states the facility will use "less water than an average golf course" and will "not impact water or electricity bills" for residents
Lack of communication and advance notice to Keller before the project moved forward Westlake's mayor has referenced a December 2024 meeting between the developer and both municipalities' leadership as evidence Keller was not blindsided
Long-term property value and neighborhood-character impact; potential "irreparable harm," per residents' court petition Westlake officials note the project is fully permitted under existing zoning and cite an expected 14% increase in town tax revenue as a public benefit
Questions over whether Westlake met state-required transparency and notice procedures (basis of Keller's legal action) Not yet resolved — this is the specific issue before the Tarrant County court as of the August 26 hearing

Note: Westlake's mayor has also framed the dispute as a question of whether Westlake should "be penalized for our economic development" given zoning decisions Keller itself has made in the past — a reminder that both cities are weighing this against their own tax base and development priorities, not just resident sentiment.

"I'm not going to pretend to know how this ends up in court, and I don't think anyone honestly can right now. What I can tell you as your neighbor and your broker is that this is worth watching closely if you own or are looking at a home anywhere near that Keller-Westlake line — whatever the outcome, it's the kind of local decision that can genuinely move buyer interest and pricing in the surrounding streets. I'd rather you hear the real facts from me than rumors from a Facebook group."

— Kallie Spencer (Ritchey)

Frequently Asked Questions

Is the data center being built in Keller?

  • No. The site is in the Town of Westlake, not Keller. The controversy exists because the proposed buildings sit close enough to the Keller city line — roughly 500 feet from some Marshall Ridge backyards — that Keller residents and the Keller city government are directly affected even though Keller has no zoning authority over the site itself.

Has construction started?

  • As of this post, no. Westlake's planning and zoning board approved the site plan on August 6, 2026, but a temporary restraining order issued August 19, 2026 has paused further movement pending an injunction hearing scheduled for August 26, 2026. This is an active, unresolved legal situation.

Where can I follow this directly instead of relying on secondhand information?

  • The City of Keller maintains an official public update page on the project (linked in the sources below), and the local news outlets cited throughout this post have been covering it in real time. Those are the most reliable places to track what happens after the August 26 hearing.

Where Things Stand

This is an active legal dispute with real, documented concerns on the resident and city side, and a permitted, by-right project with stated mitigation measures on the developer and Westlake side. Both are true at once, and the outcome isn't decided yet. If you live near the Keller-Westlake line, or you're considering a home there, the most useful thing you can do right now is follow verified local reporting rather than secondhand social media claims — and reach out if you want a grounded read on what this could mean for a specific street or listing.

Buying or Selling Near the Keller-Westlake Line?

Let's talk through what this situation could realistically mean for a specific street or listing near Marshall Ridge or the surrounding area — grounded in facts, not speculation.