Scoop: O'Connell seeks eminent domain to block Nashville Zoo data center

Scoop: O'Connell seeks eminent domain to block Nashville Zoo data center

Mayor Freddie O'Connell's administration intends to file eminent domain legislation today, which would allow Metro to take ownership of the property near the Nashville Zoo where a data center is planned.

Why it matters: It's a bold move by O'Connell, who is seeking to thwart the controversial data center development before it gets off the ground.

What he's saying: "We're filing this condemnation legislation because Metro has a legitimate need for this property," O'Connell said through a spokesperson. "I have carefully followed the concerns from the community and the Zoo and also remain deeply concerned about the proposed use."

State of play: The property is currently owned by the prominent development firm MarketStreet Enterprises, which has a contract to sell the land to the data center company DC Blox for $23 million.

  • The sale is set to close in early July.
  • DC Blox has already begun applying for permits for its 69,000-square-foot data center, which has been the subject of gargantuan public backlash.
  • The zoo expressed concerns that the data center would upset, and perhaps even harm, its animals, especially those sensitive to sound. Over 500,000 people signed a petition opposing the data center. DC Blox contends its data center can coexist with the zoo without causing problems.

    • How it works: According to the plan, Metro would condemn the MarketStreet property, purchase it at fair market value and then use it in a way that benefits the public.

  • If the legislation is passed by Metro Council, the mayor's office would typically enter into negotiations with the property owner.
  • Metro rarely uses eminent domain to take privately owned property for such large purchases. The mechanism was used to acquire the land downtown to build Music City Center.

    • Between the lines: Metro Council is already pursuing two pieces of data center-related legislation. One would impose a temporary moratorium on data center projects.

  • Another would ban large-scale data centers and create guardrails for new data center projects.

    • Yes, but: DC Blox's project was in the pipeline before that legislation was introduced.

  • DC Blox said last week it intends to press forward with the project despite the community pushback.
  • "Metro has not identified a lawful public use that would justify taking this property by eminent domain," DC Blox attorney Doug Sloan tells Axios. "Using condemnation power to interfere with a private purchase agreement and to stop a lawful private transaction raises serious legal questions under Tennessee law."
  • A MarketStreet representative did not respond to a request for comment.

    • Friction point: Metro Councilmember Courtney Johnston and a lawyer on behalf of the zoo filed separate appeals with the Board of Zoning Appeals seeking to overturn an initial administrative zoning decision by city officials.

  • The city has categorized the use as "general office," but Johnston and the zoo contend that is not correct.
  • According to Planning Department data, there are already 11 data centers in Nashville. None have been the subject of such BZA appeals.

    • What's next: Metro Council must sign off on the eminent domain legislation. That means it could be considered as late-filed legislation on July 7.