Legal Battle Over Grayslake Data Center Development

Opponents of a planned data center in Grayslake have initiated legal action against the village, T5 Data Centers, and landowner Alter Asset Management Company. This lawsuit asks a judge to nullify previous project approvals amid increasing community dissent. The suit follows the sale of the land by The Alter Group to T5 in 2024. Michael Alter, the head of the real estate firm and owner of the Chicago Sky basketball team, plays a role in the proceedings.

The lawsuit was filed by residents and property owners from Saddlebrook Farms, Grayslake, Mundelein, and Round Lake Park, represented by the Preservation of Community Well-being Collective. It seeks to render the 2024-2025 approvals invalid, cancel the agreements between Grayslake and T5, and prevent further permits.

Michael Smith, co-founder of the Lake County Illinois Data Center Opposition Coalition, expressed optimism about their case. The lawsuit is a major step for the opposition group. The announcement took place at an educational event, where the crowd responded with applause.

The lawsuit isn’t isolated. Chloe Russell, attorney for the Lake County residents, has previously worked with similar opposition groups in Joliet and Yorkville, where a settlement was recently reached.

Grayslake Mayor Elizabeth Davies stated the village had not yet received the lawsuit. T5 CEO Pete Marin assured adherence to legal requirements and emphasized the development’s potential benefits for Grayslake and Lake County.

T5 CEO Pete Marin stated, “Our goal is to bring a great facility to the region that will power technology while contributing new taxes and fees.”

At the same educational forum, concerns were raised about health and environmental impacts, such as pollution, noise, and water contamination associated with the data center. There were claims of inadequate transparency during the approval process, which has fueled public disapproval and suggests possible political repercussions.

Surveys conducted by T5 indicate awareness of public sentiment. Marin noted the withdrawal of a wetlands remediation application as a response to community feedback.

Despite this, opponents worry about lingering environmental threats, particularly regarding wetland impact. The Lake County Stormwater Management Commission (SMC) meeting highlighted the matter, noting T5’s closed application to the U.S. Army Corps of Engineers and outlining the potential continuation of developments affecting isolated wetlands.

SMC’s responsibility includes ensuring proper drainage and avoiding environmental damage, which will require a thorough hydraulic review should development continue.