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$300M AI data centre proposed at Red Deer County’s Junction 42

Oct 1, 2026 | 5:41 PM

A new Artificial Intelligence Data Centre is being eyed in Red Deer County.

This week Red Deer County announced the potential land sale at the Junction 42 Business Park for a proposed AI research lab.

The county explained that the prospective purchaser, Wave Infrastructure Ltd., offered to buy Lot 24 through an application.

Red Deer County bought the land back in 2018 as part of plans to establish a commercial, industrial, and agri-business hub.

“Council is committed to ensuring the process is open and clear; there is an established process that must be followed,” said Red Deer County Mayor Brent Ramsay. “Council will consider the application based on the information presented to us, the feedback we hear from residents through the public hearing process and the requirements of the Municipal Government Act and other applicable regulations.”

According to the organization’s website, the total site area is 12 acres, and they plan to build a five-megawatt (5 million watts) data centre at the location along Highway 2 between Calgary and Edmonton.

However, this doesn’t mean the AI research lab has been approved.

The county says they’ll continue to update the public on the municipal approval process and any opportunities for public engagement on the county’s website.

A public hearing will also be required, which will be posted on the county’s website at rdcounty.ca/publichearings. Residents will have the opportunity to provide input, whether it be in writing, in person at the public hearing or by telephone or video conference.

As part of the original purchase agreement, the county is required to apply to rezone the property, and the application will follow the same legislated approval process and public engagement opportunities that apply to other rezoning applications, including a public hearing.

In addition, the developer will also conduct its own community engagement, including at least one public open house.

If the rezoning is approved, the intended use for the property is for an estimated $300 million AI research lab.

The county said it’s important to note that rezoning the property would not mean the approval of a data centre, but rather that it would be a permitted use of the property.

Other approvals may also be required outside the county’s jurisdiction; approvals through the Alberta Utilities Commission are separate from the county’s municipal land-use approval process.

Meanwhile, an artificial intelligence data centre has already been approved for Red Deer County in the Blindman Industrial Park.

The project, which was brought forward by Havenz Smart Communities, was approved by council last year for a 120-acre site north of Red Deer to create the AHI Hub of Innovation.

According to the project’s website, the campus is currently under construction, with first power expected in 2027.