Walbridge Breaks Ground on Stargate Data Center Campus

Walbridge, OpenAI, Oracle, Related Digital and Blackstone broke ground in early June 2026 on the Stargate data center campus, dubbed The Barn, in Saline Township, Michigan, per Construction Dive and company press releases. Construction Dive and DataCenterDynamics report the development is valued at about $16 billion, spans 250 acres, and is designed for more than 1 gigawatt of capacity across three single-story buildings of roughly 550,000 square feet each. Oracle and Related Digital call it the largest economic investment in Michigan history and cite a project labor agreement covering more than 2,500 union tradespeople, plus $14 million in community investments and a separate $10 million grant for the Saline Recreation Center. Fortune reports the project advanced despite an earlier local vote against it, and Tom's Hardware notes the campus is expected to draw roughly 1.4 gigawatts of power.
What happened
Walbridge, OpenAI, Oracle, Related Digital and Blackstone marked the start of construction on the Stargate data center campus, also called The Barn, in Saline Township, Michigan, according to press releases from Oracle and Related Digital and reporting by Construction Dive and DataCenterDynamics. The development is described as a $16 billion project on a 250-acre site, designed for more than 1 gigawatt of capacity across three single-story buildings of about 550,000 square feet each, with the first building reported to be nearing completion. Oracle and Related Digital characterize it as the largest economic investment in Michigan history; reported financing combines equity from Related Digital, funds affiliated with Blackstone, and long-term debt anchored by PIMCO-managed funds.
Jobs and community terms
Oracle's release and Construction Dive state the construction phase is expected to generate more than 2,500 union jobs, with roughly 700 tradespeople on site under a project labor agreement executed under the National Maintenance Agreement. The consortium committed $14 million in direct community investments, reported by DataCenterDynamics as $8 million for local fire services and $4 million for a farmland preservation fund, plus a separate $10 million commitment to expand the Saline Recreation Center.
Context and significance
For AI infrastructure, Stargate matters primarily as capacity expansion rather than a technology milestone. Large single-story footprints simplify power and cooling for high-density compute, and the financing mix - private equity, real-estate partners and long-duration debt - mirrors recent hyperscale campus structures. The involvement of OpenAI and Oracle alongside large capital partners signals continued demand for geographically distributed compute tied to foundation-model workloads.
Local opposition and power
Fortune reports that construction advanced after a local vote against an earlier version of the plan, and Tom's Hardware reports neighboring Michigan towns have since moved to restrict new data-center buildouts. Tom's Hardware also reports the campus is expected to draw roughly 1.4 gigawatts of electricity. Grid and energy arrangements, permitting and community response remain the central variables to watch, since large AI clusters materially affect local electricity demand.
What to watch
- •Operational readiness of the first building and the overall construction timeline.
- •Power procurement, substation and transmission commitments, and any renewable or load-management arrangements.
- •Permitting and community engagement, including any legal or environmental challenges that could affect pace.
Key Points
- 1Construction began on the $16 billion, gigawatt-scale Stargate campus in Michigan for OpenAI and Oracle, materially expanding U.S. AI compute capacity.
- 2The build runs under a project labor agreement covering more than 2,500 union tradespeople, with $14M in community investments plus a separate $10M recreation-center grant.
- 3Local opposition and an estimated 1.4 GW power draw, reported by Fortune and Tom's Hardware, underscore that energy and community impact are the binding constraints on hyperscale AI buildouts.
Scoring Rationale
A $16 billion, gigawatt-scale Stargate campus for OpenAI and Oracle is a major U.S. AI-infrastructure buildout with direct relevance to capacity planning, power and regional deployment. It is an infrastructure milestone rather than a model or platform release, and the local-opposition and roughly 1.4 GW power-draw angles add policy weight, supporting a high-notable score.
Sources
Public references used for this report.
View 5 more sources
- 04Walbridge breaks ground on $16B Stargate data centerconstructiondive.com
- 05Oracle, OpenAI Begin Construction on Michigan Data Center Campusconnectcre.com
- 06Stargate updates: OpenAI, Oracle building Michigan data centercnbc.com
- 07A Michigan farm town voted down plans for a giant OpenAI-Oracle data center. Weeks later, construction beganfortune.com
- 08Oracle, OpenAI Back Massive AI Data Center Campus in Michiganthefastmode.com
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