The Charlotte City Council has approved a 150-day pause on new data center development, the latest locality to implement a moratorium amid rising national pushback against construction of the facilities.

The council late Monday voted unanimously in favor of the temporary moratorium. The aim of the pause is to allow the city to study data centers’ infrastructure and analyze the environmental impacts they might have on the area.

“We’ve got to dig deeper. We’ve got to really understand not only the legal framework but also the technical information, whether it’s the data itself or the scientific basis behind the impacts to our communities,” Council Member Victoria Watlington said before the vote. “When we can agree on the facts, then we can talk about good policy, and I think that’s exactly what this 150-day moratorium will do.”

The moratorium won’t apply to projects that have already been approved. Projects that are exempt from the pause include those with a valid building permit and those that have a complete application for developmental approval, according to City Attorney Andrea Leslie-Fite.

The city’s vote adds to the growing list of data center moratoriums around the country. Last week, a city in Southern California passed the nation’s first permanent citywide data center ban. New York state is poised to put in place a one-year moratorium.

Charlotte has been considering a moratorium for months. In May, citizens packed a city council meeting for a public hearing where most speakers pushed for the moratorium, citing negative impacts and increased energy costs stemming from what they called excessive water and power usage. Last week, local activists, politicians and an environmental lawyer held a press conference calling on the city council to approve the moratorium, The Charlotte Observer reported. 

American Tower Corp.’s proposed data center in east Charlotte is one controversial project that many have rallied against. The 40K SF project would be off of Hood Road, near a nature preserve. A public hearing on the developer’s zoning request is scheduled for June 15. 

Moratoriums have become common in recent months across the Carolinas, with Durham passing a 60-day moratorium in May and Apex passing a one-year moratorium in April.  

There are more than 90 data centers in North Carolina, according to Data Center Map, and 40 in Charlotte, according to WCNC. 

Council Member Joi Mayo said before the vote that the conversation around data centers “is not about being for or against innovation.”

“Rather, it’s about taking the time to understand the potential impact of a rapidly growing industry and ensuring our policies keep pace with that growth.”

Charlotte investors are bracing for potential changes to the build-to-rent space.

Charlotte has emerged as one of the strongest BTR markets in recent years, driven in part by population growth and rising housing costs. But some investors are pausing sales as a federal housing bill moves through Congress. The latest version of the bill retains protections for the BTR industry, but its fate remains uncertain.

“We’re not out of the woods yet,” said Jason Esposito, CEO of South Carolina-based homebuilder Center Park Group, which specializes in BTR. “It’s got to go back to the Senate and pass.”

Esposito was speaking at Bisnow’s Multifamily Annual Conference on May 19 at The Union at Station West in Charlotte. Eric Speckman, co-founding principal of investment and development firm Beauxwright, noted a “lack of transaction volume” in the Charlotte BTR market as companies await the bill’s final passage.

“We’re seeing this in real time, particularly on build-to-rent,” Speckman said. “So it’ll be nice, once the legislation gets worked out, to remove some of this uncertainty that investors have.”

In March, major investors mostly stopped buying and financing BTR sites due to the uncertainty of the the 21st Century Road to Housing Act. “Now, it’s kind of a wait-and-see game,” Esposito said. “We have a lot of projects that are at the starting gate that are ready to go.”

On May 20, the House of Representatives passed an amended version of the housing bill that eliminated a controversial BTR provision. That provision, found in a previous Senate version, would have required BTR operators to sell properties after seven years of ownership. The latest bill heads back to the Senate, where a fresh showdown is expected.

Esposito said the provision, if restored, would “completely eliminate additional supply.”

Last year, demand for BTR residences was on the rise in the Queen City, according to the Charlotte Business Journal. As of mid-2025, the Charlotte metro area had more than 4,100 BTR single-family homes under construction, according to a 2025 report by interior building supplier Best Supply, and was ranked second in the space behind Phoenix. 

But the report noted that some national investors had been “slowing new acquisitions after years of aggressive expansion.”

Alex Barroso, executive vice president of Portman Residential, said at the event that BTR is currently facing a lack of tenant demand. 

“Charlotte’s seen a ton of build-to-rent, but some of those have been difficult to lease up,” Barroso said. “They’re a lot slower, which perhaps a lot of developers didn’t assume when they underwrote them.”

Though the space remains “viable,” he says “money is slowly moving away from it.”

But factors like high housing and land costs continued to draw developers to BTR opportunities in Charlotte last year to meet local demand. Among some of the notable deals was Progress Residential’s $27.3M purchase of BTR community Harmon Five Points in October. Barroso said that just a few years ago, BTR was “all everybody and anybody was looking to invest in” in Charlotte.

David Lee, director of land acquisition at JPI, added that “the reason we saw a lot of those deals” is because they are “easier to capitalize.”

Charlotte is still listed among the major markets where “employment diversity, household growth, and suburban expansion continue to support build-to-rent demand” in 2026, according to a recent report by Catalyst Capital Partners.

But the forecast is dependent on what happens with the housing bill. Esposito said investors will continue to pause operations until they see “closure and certainty on the bill.”

Amwins is building a 15-story, 250,000-square-foot office tower at the former Sharon Station site, located at 4415 Sharon Road. It plans to use the site as its headquarters.

The Charlotte Business Journal reports the tower will house nine office floors atop six parking levels as well as a lobby and about 7,000 square feet of retail space on the ground floor. The new offices will replace six structures currently on the site. They are expected to be demolished next week.

Delivery is expected in 2.5 years. Amwins plans to begin moving its more than 500 employees into the space during the fourth quarter of 2028.

The Keith Corp., is developing the site. Brasfield & Gorrie is lead contractor and LS3P Associates and Redline Design Group will be the architects. Thrift Commercial Real Estate Services is handling retail leasing for the project.

Amwins acquired the site from local developer Childress Klein in December 2024 for $16.8 million,.

Charlotte residents packed a city council meeting this week to rally in support of a pause on data center development.

The Charlotte City Council held a public hearing during a meeting on Tuesday to discuss a proposed 150-day moratorium. The public hearing was a prerequisite to a planned council vote on June 8. 

The hearing comes after several weeks of growing public pushback against proposed data center projects in the city. Dozens of people were protesting outside, many part of activist groups, according to The Charlotte Ledger. Out of the 36 people who spoke up at the hearing, only five did not support a moratorium, the Ledger reported.

Citizens detailed their anxieties about the presence of data centers in the metro area, with some suggesting the centers be completely banned. They cited negative environmental impacts and increased energy costs stemming from what they called excessive water and power requirements.

Charlotte is facing drought conditions and water restrictions. But large data centers can use up to 5 million gallons of water each day, according to The Brookings Institution. 

“We are concerned that the growth of local data centers may overallocate our limited resources and decreases our ability to respond to drought,” resident and Catawba Riverkeeper Brandon Jones said. “Sustainable water management requires careful planning and robust coordination between all users, including data centers.”

Some spoke directly against American Tower Corp.’s proposed data center in east Charlotte, which has seen opposition at every stage. The project would span 40K SF on a site planned off of Hood Road, near Reedy Creek Nature Preserve. The developer delayed its zoning request until June 15.

“The question for me is, how do we build a footprint that makes Charlotte a national leader in distributed, resilient, redundant infrastructure without devouring our land, our water and our power?” said citizen Craig Reynolds, a business executive, whose question was met with applause.

He asked council members to consider the sheer scale of data center projects, which he said can command “eight to 14 times the combined residential power” of a city.

Another local, Tina Shull, a professor at the University of North Carolina at Charlotte, said she is “deeply concerned” about the impacts of the American Tower data center in her neighborhood, as well as the two already approved hyperscale centers in the city.

“This is a request to stop and make a new plan for data centers entirely,” Shull said. “A 150-day moratorium and an environmental impact assessment are the first steps.”

Resident Larry Shaheen, a commercial real estate lawyer at The McIntosh Law Firm, spoke in favor of data centers, saying they provide “a significant amount of tax revenue that is going to go toward funding important needs of the city of Charlotte.” 

He also said the council doesn’t have the authority to cease construction on an already started project or to change certain zoning classifications. His comments drew audible “boos” from the room.

There has been notable backlash against data centers in communities across the U.S. over the last year, including across the Carolinas. Moratoriums in the region are becoming increasingly common, with Durham passing a 60-day moratorium earlier this month, Apex passing a one-year moratorium in April, and Chatham County imposing a one-year moratorium in February. 

Still, there are more than 90 data centers in North Carolina, according to Data Center Map, and 40 in Charlotte, according to WCNC. More are expected as the rapid artificial intelligence boom continues. 

StreetLIghts and Eastern Federal have been greenlit by the Charlotte City Council to move ahead on the redevelopment of a site that includes a vintage theater. Eastern Federal owns the theater site.

Dubbed The Manor, The Charlotte Business Journal reports the project is expected to include between 120 and 130 residential units and about 35,000 square feet of retail uses. The site currently has about 40,000 square feet of existing retail space, including the 70-year-old Regal Manor Twin Theatre, which closed during COVID.

Besides the movie theater, the site has a few retail buildings and an office building. It’s not yet clear what will be done to the structures as the project moves forward.

On its website, StreetLights Residential says it takes a design-centric approach to urban development, focusing on multifamily apartment homes and mixed-use developments. 

Miramar Capital acquired Towns at Eastland for $27.6 million and Crossings at NoDa for $28.2 million from Hopper Communities.

The Charlotte Business Journal reports that Crossings at NoDa is an 88-unit development, located at 204 Monarch Creek Lane (shown) at the intersection of North Tryon Street and Sugar Creek Road. The community offers two-bedroom townhomes with rent starting at $2,195 per month and three-bedroom townhomes at $2,295 per month. Crossings at NoDa delivered in 2023.

Towns at Eastland, located at 6134 Wilora Lake Road near Eastland Yards, has 89 two- and three-bedroom units. Monthly rent starts at $2,095 for a two-bedroom and $2,195 for a three-bedroom. It delivered in early 2025.

Both properties are half full.

Locally, Miramar owns Newton Creek Townhomes, now called The Grove Residences, a 55-unit build-to-rent townhome community at 5234 Newton Creek Drive in east Charlotte. The firm acquired that development in May 2025 for $15.1 million.

Johnson & Wales University plans to fully renovate a major residence hall on its Charlotte, N.C. campus to accommodate a mixed-use of housing and student services. The 97,000 square-foot building, currently called “The Maple” and previously managed as the Doubletree by Hilton Hotel, will be completely overhauled with new mechanical and building systems and infrastructure, 150 rooms for upper-class students (with a potential occupancy of 276), an admissions welcome center, and a central location for student services.

The project is expected to take approximately two years to complete, and the expected investment by the university will be around $42 million, funded through a combination of investment reserves and philanthropy from individuals, corporations and foundations. The university will work with 3Ten Construction, a commercial contractor based in Charlotte, N.C., and Little Diversified Architectural Consulting, also based in Charlotte, N.C. Both firms have completed early-phase work on the project.

The Doubletree purchase aligns with its curriculum. The Charlotte campus offers a 90-credit, three-year Hospitality Management degree program under the University’s current accreditation, making it the first in the Southeast to offer such a degree.

The Charlotte City Council is prepping to vote on hitting pause on new data center development. 

The council on Monday agreed to hold a public hearing on a data center moratorium on May 26, a prerequisite before it can vote on the moratorium on June 8, according to The Charlotte Observer. 

The debate will center on a possible 150-day moratorium to allow city officials to review the impacts and risks of data centers and to craft regulations around their development. 

At the meeting, some expressed concern that further data center development would drive up electricity costs. Others worried about how such development may be affecting the quality of life in the city because of noise and pollution. 

“This is about our children, this is about our health, and this is about whether families can peacefully live in their homes,” said Dimple Ajmera, an at-large council member, according to a Queen City Nerve report. 

North Carolina currently has more than 90 data centers, according to Data Center Map. The Charlotte metro area has over 30 data centers, with more proposed. 

AREP has plans for a 1.5M SF campus in University City, and Digital Realty is plotting a potentially 3M SF one on Moores Chapel Road. American Tower Corp. is proposing to build a 40K SF facility near Reedy Creek Nature Preserve.

Data centers are currently permitted by right in eight zoning districts in Charlotte without city approval. These districts include residential areas, the Observer reported. 

Any potential moratorium will not affect already permitted plans.

The council’s moves come as local backlash against data centers rises in communities across the Carolinas. Durham passed a 60-day moratorium last week, Apex passed a one-year moratorium last month, and Chatham County passed a one-year moratorium in February. The county was sued in April by a developer after the moratorium was imposed.

Sumitomo Mitsui Banking Corp. has found its space in Charlotte, agreeing to sublease 200K SF of office space at 301 S. College St. for its second U.S. headquarters, the Charlotte Business Journal reported. 

301 S. College St. in Charlotte

Tokyo-based SMBC unveiled in April its plans to invest $50.5M in Charlotte and create 2,000 jobs in the city over the next six years. North Carolina’s Economic Investment Committee had approved a $70M Job Development Investment Grant for the project over a 12-year period. 

The financial services company will move into the building this fall, basing all new roles there. Until then, it will continue operations at its small office at 500 E. Morehead St., where 180 employees work. 

More than 70 jobs are currently posted for the Charlotte market on SMBC’s website, with more expected soon. 

News first broke in April that the company was nearing a lease at the 42-story tower, previously known as One Wells Fargo Center. SMBC will sublease the space that Wells Fargo & Co. had used until 2024. 

Another financial services company choosing Charlotte over other markets in recent months is Capital Group, which announced in March that it will open a major East Coast hub there.

The SMBC deal has the potential to be the largest single leasing activity for the city’s office market in the second quarter. 

In the first quarter of 2026, some of the biggest deals in Charlotte included JPMorgan finalizing a 145K SF lease in SouthPark and Charles Schwab leasing 51,500 SF in the South End. Demand was concentrated on top-tier Class-A office buildings with amenities and convenient locations. 

Most tenants throughout Q1 secured leases in the 20K SF range, according to a Colliers Q1 office market report.

In March, vacancy in Charlotte’s office market dropped to 16.6%, the lowest rate since 2023, “as the market enters a new phase of stability,” according to the Colliers report. “Tenants have quickly claimed the limited available trophy space,” the report said.

301 S. College St. in Charlotte

Sumitomo Mitsui Banking Corp. is finalizing plans to sublease space for its new Charlotte headquarters, the Charlotte Business Journal reports. 

301 South College, formerly called One Wells Fargo Center, boasts 42 stories and 994K SF. The Japan-based financial services company will be subleasing Wells Fargo’s former East Coast headquarters spanning 200K SF.

The deal is expected to close around the beginning of May, the CBJ reports.

SMBC made headlines when it announced last week that it would be making the Queen City the home of its second headquarters in the U.S. SMBC has committed to investing more than $50M to establish the new hub, and it is eligible to receive $70M in state incentives over 12 years, approved by the North Carolina Economic Investment Committee.

The bank, which has more than 150 office locations across 40 countries, will hire employees locally and relocate workers from other offices. The company already has about 180 Charlotte-based employees who work from a small office at 500 E. Morehead St.

The office tower SMBC is moving into was built in 1988. Wells Fargo occupied much of it until 2024, when it consolidated its staff into other office space in Charlotte. The building also previously housed Wachovia National Bank. 

A loan on the tower matured in May 2023 and became delinquent months later. It ultimately went into receivership in October 2023, and a third party took control. 

CBRE still lists the property as available for sale.

SMBC is one of the many banking and fintech companies choosing to invest in Charlotte, largely due to its highly skilled financial services workforce. JPMorgan Chase & Co., Citigroup, Coinbase and SoFi Technologies all announced new deals in the city in the last year.