An $8 billion Vantage data center planned for Port Washington, Wisconsin, could enjoy more than $450 million in local property tax breaks plus an exemption from state sales taxes.
The Center Square reports the proposed facility is estimated to be valued at over $2.1 billion. However, thanks to a tax increment agreement with Port Washington, the site would carry a $121 million valuation for the first 20 years, thus enabling it to pay much lower property taxes.
The property tax savings are complemented by the State of Wisconsin’s sales tax exemption on the construction of qualified data centers. That exemption covers equipment, construction materials, electricity, and other items.
Port Washington officials cite job creation over the data center’s seven-year construction period plus new employment opportunities after the data center as a benefit to the city. However, it is unclear how many jobs will be created during the construction period and after the data center is operational.
Port Washington had a combined assessed property value of $1.3 billion in 2024. Mayor Ted Neitzke stated he would prefer if Vantage paid for infrastructure at the site and retained the property tax payments instead of having the city front the money.
“That is a risk that they were willing to take that we were not,” Neitzke said.
