Construction work has begun on a new liquid-cooled Edge data center in central Germany.

Yorizon Cloud and Hochtief this week announced a groundbreaking ceremony for its latest facility in Bad Lippspringe. Completion of the 2MW site is scheduled for summer 2026.

Bad Lippspringe is a town in the district of Paderborn, in North Rhine-Westphalia, in central Germany.

“With this data center, we’re not just delivering powerful digital capabilities to Bad Lippspringe,” said Bernd Holtwick, executive director at Hochtief PPP Solutions. “We’re also demonstrating how municipalities can harness synergies between data and energy management.”

Yorizon is a cloud joint venture launched last year between ACS-owned construction firm Hochtief and server maker Thomas-Krenn.AG. It will operate out of ‘Yexio’ facilities developed by Hochtief and populated by IT hardware from Thomas-Krenn.

The company aims to offer 2MW data centers across Germany, with each site able to expand to 4MW.

The modular facilities will use direct-to-chip liquid cooling and a closed-loop cooling system. The sites aim to offer waste heat to local district heating networks. A feasibility study is underway in Bad Lippspringe to reuse the data centers’ heat for nearby residential and commercial areas.

While the company uses steel and concrete for the foundations, it is looking to use sustainable timber construction for the majority of the building.

After breaking ground last year, the first Yexio data center is set to open outside Essen in Heiligenhaus in North Rhine-Westphalia over the summer. The 9,000-square-meter (96,875 sq ft) site is located in the Heiligenhaus Innovation Park.

Hochtief is working with the Palladio infrastructure fund to develop up to 15 data centers. Yexio has previously been described as a spin-off of the Hochtief PPP Solutions.

According to Yorizon’s website, the company has two other land purchases approved in Germany and one in Austria – possibly near Graz. Sites are also planned in Switzerland.

Local reports suggest another facility is in the works near Bremen in Brake, in the Wesermarsch district in northern Germany. That facility is reportedly due to go live in 2027.

Founded in 2012, Palladio Partners primarily invested in domestic and international infrastructure assets on behalf of German pension funds. It has some €9.9 billion ($10.99bn) in assets under management.

“Modern, sustainable data centers play a vital role in advancing digital infrastructure,” said Stephan Küßner, managing director at Palladio Partners. “They also exemplify sector coupling—a key principle in the energy transition. By leveraging renewable energy and repurposing waste heat, they contribute directly to the shift toward climate-friendly heating.”

“We were thrilled when we learned about the plans for this cutting-edge data center,” said Bad Lippspringe Mayor Ulrich Lange. “The collaboration with Hochtief and Palladio Partners represents a win-win scenario—particularly with regard to our climate-conscious municipal heating strategy. The center’s waste heat is an ideal energy source for our planned district heating network. This project is an important building block on our journey toward energy autonomy.”

ACS is a Spanish infrastructure development firm, best known in the US as the owner of Turner Construction. The company owns or has stakes in Hochtief, Turner Construction, Dragados, CIMIC, Leighton Asia, Ventia, and numerous others. Data center clients include Meta and Vantage.

Traditionally known as a construction firm serving clients, ACS has recently pivoted to developing its own data centers that can be leased or sold to customers. The company has acquired land and/or filed for data center campuses in Spain and the US, and the company has suggested it has a potential development pipeline totaling around 5GW globally.