De Soto data center plans to offer $1,000 to households, but neighbors say they're not so sure

DE SOTO, Kan. — KSHB 41 reporter Isabella Ledonne reports on stories in Overland Park, Johnson County and topics about government accountability. Share your story idea with Isabella.

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The company behind one of the hyperscale data center proposal projects in De Soto, Kansas, announced it is preparing to provide direct credits of up to $1,000 for every household in the city.

Digital Realty is preparing its 300-acre site for a data center at Astra Enterprise Park near the Panasonic Plant. Construction is expected to start in 2027. Beale Infrastructure has started construction on its data center campus down the road from Panasonic and Digital Realty's site.

But even with the promise of Digital Realty's money, neighbors are still skeptical of what the project could mean for their everyday life.

Will Shaw

"Is that enough?" neighbor Sara VanDeCreek said. "How much is the value of our community?"

Digital Realty reached out to me on Friday to announce the company is planning to give every household a yearly credit up to $1,000 for the next 10 years to be used for property tax and/or utility relief.

It's among the first in the Kansas City metro to offer an incentive directly to residents.

"De Soto has a lot of people that could use $1,000 a year," VanDeCreek said.

But to some neighbors, that check could mean something else.

Will Shaw

"It's a bribe, is what it looks like," neighbor Toni Caldwell said. "If you can't give us the true answers, then don't come to me with money and expect me to believe what's going on or accept that money."

Both Caldwell and VanDeCreek have been outspoken against De Soto's two data center developments, even helping launch a petition earlier this month to block the development. They explained that petition has gained more than 400 signatures.

Digital Realty's announcement to invest $20 million in a community fund in the form of direct relief for residents has been met with some skepticism.

"They're not really answering the questions that we have," VanDeCreek said. "I don't think it sweetens the deal and I think it's purposeful that it's coming out right now before they ask for tax incentives to help with bonds."

I asked Digital Realty why the company is offering this and if it's meant to offset any anticipated rise in residential electric and water bills with the operation of the data center.

"This commitment is designed to deliver tangible benefits for De Soto residents while we invest for the long term," a spokesperson said over email. "It accelerates benefits the community will receive and is a reflection of our broader approach to responsible development, collaboration and being a good neighbor in our project communities."

"A community partner first of all is transparent," VanDeCreek said.

Neighbors are still wanting answers to their biggest concern: the long-term impacts of having data centers in the community.

It's a question residents say they haven't gotten the answer to with either data center proposal.

"A good community partner is one you can trust," Caldwell said. "I don't trust either one of them right now."

Digital Realty did not make anyone available for an on-camera interview.

"This community investment accompanies Digital Realty's entire development in De Soto and reflects our long-term commitment to local partnerships," a spokesperson wrote in a statement. "We look forward to continuing this investment in the community as the project moves forward."

The company is expected to have a TIF district public hearing at the city council meeting on Nov. 19.

The City of De Soto is helping Digital Realty with the distribution and plans for the direct relief payments, though no funds are expected to come out of the city's general revenue fund.

“De Soto and the developers of Astra Enterprise Park have spent decades planning for the future of this historic site, with the City focused on ensuring its redevelopment creates tangible benefits and improves quality of life for our residents,” De Soto mayor Rick Walker said. “Digital Realty’s commitment builds on that vision in a meaningful way by investing directly in the people who call De Soto home.”

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