Date
October 6, 2026
Added to tracker
October 13, 2026
Court or forum
South Carolina Court of Common Pleas, Seventh Judicial Circuit (Spartanburg County)
State
South Carolina
Presiding judge
J. Derham Cole Jr.
Property type
Data Center
Amount / scale
$2.8 billion data center project; declaratory and injunctive relief only, no damages sought
Parties
Plaintiff: Concerned Citizens of Spartanburg CountyDefendant: Spartanburg CountyDeveloper: Valara Holdings

On October 6, 2026, a Spartanburg County circuit judge dismissed a neighbors' group's suit claiming the county should have reviewed Valara Holdings' $2.8 billion data center at the former Kohler plant as a 'major' land development rather than a 'minor' one. The court held that the group, Concerned Citizens of Spartanburg County, lacked standing because it had not shown special damage, and that it had skipped the required appeal to the county Board of Zoning Appeals. The court also called the challenge to a second, still-pending permit premature. The group, represented by the Southern Environmental Law Center, says it will appeal.

Why it matters

The ruling shows that a by-right or staff-level approval can hold up against neighbors who do not first use the local zoning-appeal process within the short deadline it allows, and who cannot show harm specific to them. For data center developers and the owners of converted industrial sites, this is a strong procedural defense while opposition to the asset class grows. It also shows how a project classification fight ('minor' versus 'major' review) can become the main point of attack, so developers should record why their application fits the classification they chose.

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Concerned Citizens of Spartanburg County, a local group represented by the Southern Environmental Law Center, sued Spartanburg County in July 2026. The suit challenged how the county was handling permits for a data center campus being built by Valara Holdings, which South Carolina Lawyers Weekly describes as a subsidiary of NorthMark Cloud and Compute. The project is planned on South Pine Street, at the site of the old Kohler plant. It is reported as a $2.8 billion investment. SELC's filing materials describe about 500,000 square feet of new buildings, a power yard, internal roads and a 450-megawatt gas-fired power plant.

Case timeline · 4 entries Latest: October 6, 2026 — Court dismisses suit for lack of standing and failure to appeal to the Board of Zoning Appeals; group says it will appeal

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