← Henderson-Vance FYI

September 9, 2026

Natelli Files 900 MW Campus Plan

Natelli Holdings LLC filed a phased development plan for a 900 MW data center campus on 528 acres between I-85 and US-158, east of Poplar Creek Road. The same day, they submitted a redlined version of the county's draft Unified Development Ordinance, weakening protections across the board. The moratorium has not been adopted.

Every claim on this page is sourced to filed documents and public records.

The Filing

Key Facts

Source: Vance County Technology Campus Final Site Plan, NC Rodgers Consulting for Natelli Holdings LLC, filed September 9, 2026.

900 MW

Total campus capacity

528.92 acres

Nine parcels between I-85 and US-158

Up to 12

Buildings plus security building and auxiliary facilities

4,000,000 sq ft

Total data center space

4 phases

Multi-phase development plan

Light Industrial

Zoned by right, no rezoning required

Background

Who Is Natelli

Natelli Holdings LLC

Also referenced in filings as Natelli Investments LLC. c/o Natelli Holdings, 1903 N. Harrison Avenue, Suite 100, Cary, NC 27513. Contact: Thomas Natelli Jr.

Prior Activity

Natelli's Apex, NC proposal -250 MW, 189 acres near the Shearon Harris Nuclear Plant -was withdrawn in March 2026 after 4,700 petition signatures and opposition from a U.S. Representative. Apex then voted unanimously to draft a data center moratorium. The same developer is now in Vance County with a project nearly 4x the size.

Sources: WRAL, Triangle Business Journal, Town of Apex public records.

The Legal Strategy

The Vesting Play

NCGS 160D-108(j)(4)

Once site plan approval is granted for the initial phase, the entire multi-phase development is vested under the rules in place at that time, for seven years. Separately, NCGS 160D-107 states that a development moratorium does not apply to development set forth in a multi-phase development plan.

In Their Own Words

Natelli's letter states they have been “closely following the discussions around the possible imposition of a moratorium and adoption of new regulations” and that “the uncertainty this causes is very problematic,” so they “reluctantly made the decision today to file a plan for development of the site.”

Source: Natelli letter dated September 9, 2026.

Translation

If the county approves Phase 1, the entire 900 MW, 4-phase campus locks in under current rules for 7 years. Even if a moratorium is adopted tomorrow, NCGS 160D-107 exempts vested multi-phase plans.

The moratorium has not been adopted as of September 12, 2026.

Sources: NCGS 160D-108(j)(4), NCGS 160D-107, Natelli letter dated September 9, 2026.

Most Important Section

The UDO Redline

Natelli submitted a marked-up copy of the county's draft UDO Section 5.13.4 (Data Centers). Below is every change they requested.

Footnote 300

The draft UDO states: NFOCUS had recommended more restrictive standards in 2022 with the original data center amendment, but the recommendation was “deemed unnecessary.” Vance County was told what standards to adopt four years ago and said no. They are now writing them under deadline while the applicant marks up the draft.

Source: Vance County Draft UDO, July 2026, Sec. 5.13.4, footnotes 300–308.

What the County ProposedWhat Natelli WantsWhy It Matters
School/hospital/daycare separation: 1,000 feet500 feetCuts the buffer zone in half for the most sensitive community facilities.
Residential setback: 500 feet from residential propertyWaived when the adjoining parcel is under common ownership with the data centerIf Natelli owns the adjacent residential-zoned lot, they can build right up to it. NFOCUS originally recommended 300 feet (footnote 303).
Maximum height: 60 feet75 feet, measured from finished ground level to roof membrane15 feet taller, with a measurement method that could add more.
Privacy fence: 8-foot fence required“In areas where necessary”Discretionary language that allows skipping the fence entirely.
Utility confirmation: County “shall require” utility provider documentationCounty “shall request”Changes a mandate to a request. The utility provider is no longer obligated to confirm capacity.
Cooling systems: Closed-loop systems required“Closed loop or hybrid systems which utilize closed loop, air or evaporative cooling”Opens the door to evaporative cooling, which consumes millions of gallons per day. This is the single most consequential change.
Generator use: Only during power disruptionsAlso “when specifically required by Duke Energy, the State of North Carolina or the NC Utilities Commission” plus routine testing and maintenanceExpands when diesel generators can run, increasing noise and emissions.
Abandonment trigger: 12 months of ceased operations = abandoned18 months, plus “clear and convincing evidence” standard required, plus extensive list of activities that do NOT constitute abandonmentMakes it nearly impossible for the county to declare a facility abandoned. Maintenance of permits, insurance, security, or even “marketing” counts as active use.
Abandoned infrastructure: Private substations removed“Private substations, sewer pump stations, water treatment facilities and infrastructure which could benefit future uses on the site shall be retained for future use at the option of the property owner”The owner keeps private utility infrastructure indefinitely.
Consultant review: County reviews application“At the request of the applicant, the Planning Department shall arrange an informal consultation with the applicant to review the consultant's report prior to any formal action” The applicant gets to see and respond to the county's own expert analysis before any public hearing.

Source: Vance County Draft UDO, July 2026, Sec. 5.13.4, footnotes 300–308.

Water Impact

What 900 MW Actually Means for Water

Our original analysis estimated a single data center at 300,000 to 1 million gallons per day. That figure is accurate for a single building in the 30–100 MW range. Natelli's filing changes the scale entirely: a 900 MW campus with up to 12 buildings, and a redline that specifically allows evaporative cooling.

ScenarioDaily Water UseAnnual
Full evaporative (worst case)~10.3 million gal/day~3.76 billion gal/yr
Hybrid cooling (Natelli's redline allows this)3.6–6.2 million gal/day1.3–2.3 billion gal/yr
Pure closed-loop (best-in-class)~1.35 million gal/day~493 million gal/yr
Zero-water air-cooled (Microsoft new gen)Near zeroNear zero

Real-World Comparisons

Google -Council Bluffs, IA

2.8M gal/day

Consumed (evaporative cooling).

Source: GIJN, WeAreIowa

Vantage 1,300 MW campus -WI

22,000 gal/day

Closed-loop. vs 5 million gal/day if evaporative - a 227x difference.

Source: Vantage Data Centers blog

Meta Forest City, NC -30 MW

~11,500 gal/day

Average (best-in-class WUE 0.26 L/kWh).

Source: WUNC

Context

At the hybrid-cooling midpoint (5 million gallons per day), Natelli's campus would consume the equivalent daily water demand of 50,000 to 60,000 people, more than the entire population of Vance County (approximately 43,000). The KLRWS currently draws 6.9 MGD to serve all of its customers across four counties. No public analysis has been provided by Natelli on the water requirements of this campus.

Natelli's redline changes the county's proposed “closed systems” requirement to “closed loop or hybrid systems which utilize closed loop, air or evaporative cooling.” The word “or” is doing enormous work. It is the difference between 22,000 gallons per day and 5 million.

Drought - September 11, 2026

The U.S. Army Corps of Engineers reports Kerr Reservoir is at 289.9 feet - 9.6 feet below the target elevation of 299.5 feet. Ten of the past 12 months had below-normal inflows, ranking in the top 10 driest inflows on record. Six of those months were in the top 3 driest ever recorded. A Drought Management Committee was assembled on August 6. Boat ramps are becoming inaccessible. This is the reservoir Franklin County wants 15.7 MGD from, and the same water system Natelli's campus would draw from.

Source: USACE Wilmington District News Release, September 11, 2026. Boydton, VA.

Sources: AKCP Data Center Water Footprint 2026, Introl WUE Guide,MOST Policy Initiative, WUNC April 2026, WRAL, Vantage Data Centers, GIJN.

Timeline

What Happens Next

The moratorium has NOT been adopted as of September 12, 2026.

The Proposed 60-Day Moratorium

A moratorium notice was published September 5, 2026. The proposed ordinance is a temporary 60-day measure that would terminate the earlier of November 13, 2026 or upon adoption of UDO data center amendments. It has not been adopted. A public hearing is scheduled for September 14, 2026. The draft ordinance acknowledges that data centers were added as permitted by right in L-I and O-I zones on February 5, 2024 “with no additional requirements for such development.”

The ordinance also states there are “no known large scale active and one pending data centers in Vance County” -confirming Natelli is the pending application.

◆Staff must present text zoning amendments to Planning Board by September 15, 2026
◆Public hearing on new zoning ordinance targeted on or before October 5, 2026
◆Moratorium expires November 13, 2026 if not extended or superseded by new ordinance

Critical Exemption -Section 2 of the Moratorium Ordinance

The moratorium “shall not apply to:”

  1. (i)any complete land development applications currently in review
  2. (ii)the development of an ancillary or accessory use of a data center
  3. (iii)nothing herein shall impair vested rights established pursuant to North Carolina law

This means Natelli's September 9 filing -if accepted as a complete application -may be exempt from the moratorium by the moratorium's own text. Natelli filed four days after the moratorium notice was published.

Why They Filed When They Did

“We have been closely following the discussions around the possible imposition of a moratorium... The uncertainty this causes is very problematic for us at this stage of our efforts. We therefore reluctantly made the decision today to file a plan for development of the site.”

Natelli letter, September 9, 2026. The moratorium notice was published September 5. Natelli filed four days later.

September 14, 2026 -Board of Commissioners Meeting

Three public hearings relevant to data center development are on the agenda:

  • Item 5 - 6:20 PMZMA26-002- Rezoning request (CPNONE LLC), GC1 to HC, US 1-158 Hwy & Warrenton Rd. Not a data center application, but part of the same meeting.
  • Item 6 - 6:30 PMOA26-001 - UDO Section 4 text amendment adding data center development standards
  • Item 7 - 6:40 PMProposed 60-day moratorium on new data center development (Jonathan Care, County Attorney)

The Critical Fork

  • ◆If Natelli's September 9 application is deemed complete, it may already be exempt from the moratorium under Section 2(i).
  • ◆If Phase 1 is approved, the entire campus vests for 7 years under NCGS 160D-108(j)(4) -and NCGS 160D-107 separately exempts vested multi-phase plans from moratoriums.

Sources: Vance County Board of Commissioners Masterfile, September 14, 2026 meeting. NCGS 160D-107, 160D-108.

Chronology

Key Dates

DateEvent
February 5, 2024Board permits data centers by right in L-I and O-I zones - no additional requirements
August 25, 2026Joint BoCC/Planning Board work session -consensus to draft UDO text amendment
September 3, 2026UDO amendment public notice published
September 5, 2026Moratorium public notice published
September 9, 2026Natelli files 900 MW multi-phase development plan and redlined UDO -four days after moratorium notice
September 10, 2026Planning Board reviews text amendment
September 14, 2026
6:20 PM
Public Hearing -ZMA26-002 rezoning (CPNONE LLC)
September 14, 2026
6:30 PM
Public Hearing -OA26-001 UDO data center text amendment
September 14, 2026
6:40 PM
Public Hearing -60-day moratorium ordinance
September 15, 2026Staff deadline to present text amendments to Planning Board
October 5, 2026Target date for public hearing on new zoning ordinance
November 13, 2026Moratorium expiration (if not extended or superseded by new ordinance)

Source: Vance County Board of Commissioners Masterfile, September 14, 2026 meeting.