Arcadis and developer Terra Ventures have proposed a two-phase data-center development in San Jose that would pair fuel-cell power with direct-current distribution, reuse fuel-cell waste heat, and add a greenhouse and retail space. These are design plans described in a July 29, 2025, Data Center Knowledge interview—not verified features or results from an operating facility.
What is planned for the San Jose site?
Data Center Knowledge reported that the proposed development includes a 295,080-square-foot data-center building with an attached power structure, a separate three-story power structure of 132,000 square feet, and a greenhouse and retail center planned across two phases. The figures describe the proposal as reported in 2025; they do not establish that the buildings have been permitted or constructed.
Jeffrey Gyzen, an Arcadis principal and global practice group director, discussed the design with the publication. The project is presented as an attempt to integrate power, cooling, and community uses, but the interview does not provide project documents or independently verified performance data.
How would the proposed power system use direct current?
In the described design, fuel cells would supply direct current (DC), which would be routed toward the servers without the DC-to-alternating-current (AC) conversion step in that power path. Gyzen used about 400 volts DC as an illustrative fuel-cell example; Data Center Knowledge did not identify it as a final, model-specific specification for this project.
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A shorter conversion path may avoid some conversion equipment and associated losses, but the interview does not quantify those losses or establish a project-wide energy saving. It also does not specify the final generation capacity, equipment mix, grid connection, or operating configuration.
How would waste heat be reused?
The proposal would use heat from the fuel cells in absorption chillers to make chilled water, reducing reliance on air-cooled chillers. Gyzen said air-cooled chillers can account for about 20% of a data center’s total power. That is his generalized interview claim, not a measurement for the San Jose proposal.
The interview also describes using recovered heat for the greenhouse in a later phase. In principle, directing useful heat to cooling or greenhouse applications can extract more value from the fuel-cell output than discarding that heat. Whether the planned uses operate as intended—and their net effect after accounting for the energy and equipment needed to move and use heat—has not been demonstrated for this site.
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What does the efficiency estimate mean?
Gyzen estimated that using waste heat could raise fuel-cell overall efficiency “from roughly 60% to about 90%.” This is an attributed estimate, not a commissioning result or an independently validated figure for this facility. The interview provides no calculation boundaries, operating conditions, or project measurements with which to verify it.
Can on-site generation remove the need for backup generators?
The project is described as aiming to eliminate traditional backup generators by relying on on-site generation. That is an objective, not a confirmed reliability design: the published account does not specify the installed generation mix, redundancy, capacity, fuel arrangements, permits, or how the site would respond to outages or maintenance.
Those details matter because an on-site power source and a backup system serve different reliability needs. Without the final configuration and operating plans, it is not possible to conclude that conventional backup equipment will be unnecessary or that the site can maintain service through every disruption.
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What community benefits are proposed?
The greenhouse and retail center are framed as potential sources of local produce and shared space. The reported plans also include meeting and educational facilities. The article does not establish that these amenities have been built, funded, opened, or made accessible to the public, and it reports no evaluation of community outcomes.
What remains unknown about the project?
The July 29, 2025, Data Center Knowledge account describes design intent and interview statements. It does not establish the project’s permitting or construction status, final equipment selections, schedule, measured energy or water performance, emissions accounting, or delivered community benefits. Gyzen also identified procurement difficulty for components including switches, transformers, copper wiring, and turbines, but the article does not say how that affected this project’s schedule or final design.
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To judge the proposal against an operating facility or another design, look for evidence on:
Quick Recap
- Measured power-conversion losses and the system boundary used to calculate them.
- Whether recovered heat is actually used, and the facility’s measured net energy performance.
- Grid connection, backup capacity, redundancy, and outage response.
- Commissioned energy and water performance, alongside the methods and period used to report them.
- Whether the greenhouse and other community-facing spaces are completed, funded, and accessible.
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