➤ Key Highlights
Data centers are no longer “by-right” uses in Kansas City. Most new facilities now require special use permits, triggering discretionary review and public hearings under updated zoning rules in Kansas City.
Utility capacity must be proven upfront. Applicants must secure written confirmation from power and water providers before entitlements move forward—assumed capacity is no longer acceptable.
Impact mitigation is now codified. Traffic studies and limits on noise, vibration, light, and other off-site impacts are mandatory, raising both cost and timeline risk.
Siting options are narrower. Data centers are restricted or prohibited in residential, neighborhood, retail, and some commercial zones without rezoning, materially shrinking the viable site universe.
Kansas City’s Council has adopted new zoning rules that no longer let data centers be built “by right” everywhere — instead they now trigger special use permits and discretionary review for most projects, especially larger facilities, and limit where they can go in the city’s zoning districts. Smaller centers must now cap their street‑facing footprint and larger data centers fall into a “large format use” category with stricter oversight.
Key provisions in the ordinance include:
• Traffic impact studies as part of the approval process for data centers. Developers will need to demonstrate how a project affects surrounding traffic patterns.
• Utility service confirmations — no application moves forward without letters from water and power providers confirming they can serve the proposed demand.
• Limits on external impacts — projects must show they will not cause noise, vibration, light, or other impacts beyond their property lines under the new requirements.
• Restrictions on siting — data centers are prohibited in rural, residential, neighborhood, and retail zones without rezoning, and are subject to size and placement caps downtown and in commercial areas.
KC leadership and community advocates say this is just the first step — additional rules on water/energy use and environmental impacts are under discussion, and there’s interest in tying decommissioning responsibilities and broader infrastructure costs into the code.
What this means for site selection and entitlements:
Utility due diligence becomes non‑negotiable. You must have early, documented commitment from Evergy, KC Water, and other utilities — not just assumed capacity — before entitlement filings.
Traffic and external impact studies are now standard. Plan budgets and timelines accordingly, and build these assessments into pre‑entitlement workstreams.
Zoning risk is higher in mixed‑use and residential areas. Sites in those districts will require rezoning or special use allowances with public hearings — this is a new gating factor for approvals.
Community engagement matters. Public comments influenced the ordinance, and future amendments could hinge on neighborhood concerns about utility strain, environmental quality, and incentives.
➤ TAKEAWAY
Kansas City has shifted data centers from a largely administrative approval path to a discretionary, impact-driven entitlement process. For developers and investors, this changes the underwriting math: site selection must start with verified utility commitments and zoning feasibility, not land price or proximity alone. Projects that rely on speed-to-power or aggressive schedules will face friction unless entitlement risk, community scrutiny, and infrastructure negotiations are addressed early. This doesn’t kill data center development in KC—but it penalizes speculative sites and rewards disciplined, utility-first planning.
