Microsoft is continuing to invest heavily in its Texas home state, this time with a $482 million data center planned for Castroville next door to San Antonio. It’s all part and parcel of Microsoft looking to deepen its infrastructure bench strength as it continues to add more bulk technology wise.
The company has filed for a permit to construct a single-story data center at 18844 Farm-to-Market Road in Castroville, about 27 miles west of downtown San Antonio in Medina County. Named SAT 82, the facility will cover 244,675 square feet. Construction is set to begin in April 2026, with completion expected by early 2028. The $482.6 million budget underscores Microsoft’s substantial investment in the region.
This project is part of a broader strategy to expand Microsoft’s presence in San Antonio. The company is already developing two other data centers at the same Castroville site, SAT 80 and SAT 81, with a combined cost of $230 million. These centers are expected to be operational by the third quarter of this year.
Microsoft is also expanding in San Antonio proper, along with the Castroville projects. The same campus plans to house SAT16, a data center Apple started seeking approval for earlier this year. The 245,000 square foot facility is estimated to cost $215 million and will accompany the SAT 15 data center which was announced in August 2022 and is scheduled for a Q1/2024 delivery.
Additionally, Microsoft is in the process of building some kind of a large campus at 3545 Wiseman Blvd. over on San Antonio’s heat map that plans for four to five buildings totaling up to 350,000 square feet are estimated at $200 million or so. It also has a 15000 Lambda Drive campus that is anchored by a data center known as SAT46 (79,385 square feet), and additional expansion space planned on some of the land. Microsoft owns 158 acres at the Texas Research Park campus, where it plans to invest $1 billion to create one million square feet of data center space.
These expansions demonstrate Microsoft’s commitment to scaling its operations to meet global demands. By enhancing San Antonio’s reputation as a growing tech hub, Microsoft is making a long-term investment in the region’s economic and technological growth.
