CloudBurst Data Center, New Braunfels, Texas

CloudBurst is building a 1,200-megawatt data center campus at 2955 Francis Harris Lane, on the line between Hays and Guadalupe counties near New Braunfels, Texas, outside the city limits and extraterritorial jurisdiction of both San Marcos and New Braunfels. Guadalupe County, not Hays, holds jurisdiction over the site and its planned gas power plant, according to Hays County development services director Marcus Pacheco, and it was Guadalupe County commissioners who approved the project's development agreement and tax abatement.

Guadalupe County commissioners first voted down a $500 million property tax abatement 3 to 2 on February 24, 2026, citing water concerns; Commissioner Stephen Germann said, "As a commissioner, I say we are out of water." On April 21, after nearly four hours of public comment, commissioners approved a development agreement and tax abatement 3 to 2, covering 706 acres and 90 percent of county taxes on improvements for five years, phasing down to 40 percent by year ten. "I do not oppose data centers overall, but there is no direct, articulable benefit" to locating one in a specific community, Commissioner Jacqueline Ott said, voting no.

CloudBurst and partner Evolve broke ground on November 5, 2025, and the campus is to run on its own gas-fired power under a supply agreement with Energy Transfer, with the first 50-megawatt phase due online in the fourth quarter of 2026. On September 21, 2026, Gov. Greg Abbott ordered the Texas Commission on Environmental Quality to stop issuing new data center permits until ERCOT and the Texas Water Development Board finish auditing the industry's power and water use, a hold that now applies to any further environmental permits CloudBurst needs for its remaining buildout.