The Tuscaloosa County Economic Development Authority has unanimously approved a 20-year incentive package for Applied Digital's Delta Forge 2 AI data center campus near Brookwood, Alabama, clearing the way for construction on the $3.2 billion project, according to Birmingham Free Press.
Dallas-based Applied Digital Corp. plans an initial 1.26 million-square-foot building on roughly 160 acres of a 1,300-acre property, delivering 210 megawatts of critical IT load. Construction is set to begin in October 2026, with operations targeted for the first half of 2028.
The approved package includes $314.5 million in property, sales, and use tax abatements over 20 years, alongside $270 million in community-benefit payments over the same period, equal to $13.5 million annually. The project is also projected to generate $131.5 million in education-related taxes over 20 years, bringing the combined incentive and tax figures to more than $440 million. Applied Digital expects the project to support more than 1,000 workers at peak construction and more than 100 permanent full-time jobs.
Project materials identify Kayvens LLC, with a Menlo Park address listed as "1 Meta Way," as the tenant, which has fueled speculation that Meta could be the hyperscaler customer. Neither Applied Digital nor Meta has publicly confirmed that involvement.