TenKey Data Center Campus, Franklin
TenKey is the most advanced and most contested data center proposal in Kentucky’s public record. The plan calls for a roughly 200-acre campus with three data halls of about 200,000 square feet each inside the Gateway 65 North development in Franklin, described by the development team as entirely privately funded. What makes it consequential beyond Simpson County is the legal question it raised: when a city planning commission approves a project and the county government adopts stricter rules, whose authority governs? That question is now before the Simpson Circuit Court.
Project facts
- Estimated investment
- $6 billion (developer figure)
- Site size
- Approx. 200 acres in the Gateway 65 North development
- Estimated capacity
- Not disclosed
- Developer
- TenKey LandCo I LLC
- Utility
- To be confirmed — Franklin is within the TVA service region
- Technology / cooling
- Closed-loop cooling (developer statement)
- Estimated jobs
- Not disclosed
- Technology partner / tenant
- Not disclosed
Latest status
Updated August 16, 2026
The Franklin Planning and Zoning Commission approved the preliminary development plan on March 3, 2026, after tabling it twice. Simpson County Fiscal Court had separately adopted an ordinance in January 2026 placing greater restrictions on data centers at the county level, and the developer sued the fiscal court over whether the county can override the city’s zoning approval. Simpson Circuit Chief Judge Mark A. Thurmond heard arguments on August 4 and 6, 2026 and took the matter under submission. As of mid-August 2026 the ruling is pending.
What is proposed
Three data halls of approximately 200,000 square feet each across roughly 200 acres, presented by the development team as a $6 billion privately funded investment. The developer states the campus would use closed-loop cooling, which recirculates water rather than consuming it continuously through evaporation. Announced power demand in megawatts has not appeared in the public record, and the interconnecting utility has not been confirmed in the filings and coverage we have reviewed. Franklin sits within the TVA service region; readers should verify service territory before drawing conclusions about rate impact.
The tax figures, and where they come from
The developer’s own materials project roughly $19 million per year in property tax revenue to Simpson County Schools and about $3.7 million per year to the city. These are developer-provided estimates. They have not been independently verified, and no signed payment-in-lieu-of-taxes agreement has been confirmed in the public record. Projected tax revenue depends on assessed value, the assessment schedule for equipment, the depreciation applied and any negotiated abatement — which is exactly why the assessment methodology matters more than the headline number.
The city–county jurisdictional dispute
In January 2026 Simpson County Fiscal Court passed an ordinance imposing greater restrictions on data centers. TenKey LandCo filed suit later that month, arguing the county cannot override the city’s zoning approval of a project inside the city’s planning jurisdiction. The fiscal court answered in February. After a two-day hearing in August 2026, the court took the case under submission. Whatever the outcome, the case is likely to shape how Kentucky cities and counties divide authority over large industrial siting.
What to watch
The circuit court ruling and any appeal; confirmation of the serving utility and the requested load in megawatts; the final development plan and any conditions attached to it; the water source and the specific cooling design as submitted for permitting; and whether a formal tax or incentive agreement is executed and made public.
Economic impact
Investment, tax base and employment figures are published here once they appear in an incentive agreement, assessment record or on-the-record announcement.
Impact frameworkEnergy
Which utility serves the site, what capacity is requested, and what tariff or special contract applies are the decisive ratepayer questions.
Electric ratesWater
Cooling design determines water use. Projected withdrawal and consumption should be disclosed before approval.
Water briefingCommunity
Zoning conditions, noise limits, buffering and written community commitments are set locally, in public session.
Community benefitsTimeline
2026-01-08
Simpson County Fiscal Court adopts an ordinance placing greater restrictions on data centers.
2026-01-28
TenKey LandCo sues Simpson Fiscal Court over the county ordinance.
2026-02-22
Simpson Fiscal Court files its answer to the lawsuit.
2026-03-03
Franklin Planning and Zoning Commission approves the preliminary development plan.
2026-08-06
Simpson Circuit Court hears arguments and takes the dispute under submission.
Frequently asked
Has the project been approved?
The city’s planning commission approved a preliminary development plan. That is an early stage, not a final approval, and the county ordinance dispute over whether that approval governs is still before the court.
Are the $19 million school revenue figures verified?
No. They are estimates published by the developer. Until an assessment methodology and any tax agreement are on the public record, treat them as a projection rather than a commitment.
How much water would it use?
The developer describes closed-loop cooling, which uses substantially less water on an ongoing basis than evaporative designs. The specific design, water source and permitted withdrawal should be confirmed through the permitting record.
Documents & sources
Where to verify this entry independently.
Preliminary development plan approved by Franklin Planning & Zoning
Source: Bowling Green Daily News
‘Feet to the fire’: Preliminary plan for Franklin data center approved
Source: Louisville Public Media
Simpson County passes ordinance placing greater restrictions on data centers
Source: Louisville Public Media
Data center developer sues Simpson Fiscal Court
Source: Bowling Green Daily News
Court hears arguments from county, developer over Simpson data center ordinance
Source: Bowling Green Daily News
Project description and campus program
Source: OTN Group
Developer project site (tax and cooling claims)
Source: TenKey Data Center