I own and work a Texas ranch. I compete in equestrian events on weekends. And every week, I help ranch, land, and equestrian buyers and sellers across North and West Texas make sense of a market that is changing faster than most of them realize. So when clients start asking me about data centers showing up near their pastures, I don't answer as an outside observer  I answer as someone who lives with the same land, water, and infrastructure questions they do.

Texas has always been known for wide-open ranches, working farms, horse properties, and large stretches of undeveloped land. Now, another type of development is rapidly changing that landscape: data centers.

Driven by artificial intelligence, cloud computing, and the growing demand for digital services, data-center development is expanding across the state. Texas already has hundreds of operating data centers, with many more planned  and a noticeable share of that growth is landing in the same rural counties where my clients raise cattle, run horses, and build their lives.

For Texas, this growth can bring investment, jobs, tax revenue, and new infrastructure. But for people who have spent generations working the land, the question is becoming harder to avoid:

What happens to rural Texas when technology begins competing with agriculture for the same land, water, electricity, and infrastructure?

The Pressure on Texas Farmland and Ranchland

One of the biggest concerns is simple: land is finite.

Large data-center campuses can require hundreds or even thousands of acres. In rural areas, that puts agricultural land directly into competition with industrial development.

The Texas Tribune recently reported on a fourth-generation farmer who lost access to hundreds of acres after his landlord sold the property to a buyer connected to a Google data-center development. The farmer had crops already growing on the land and was given a limited window to finish the harvest.

For farmers and ranchers, losing acreage isn't simply losing a piece of property. In my own conversations with sellers, I see it show up as:

• Less pasture for livestock
• Less land for hay and crops
• Reduced grazing capacity
• Fragmented ranch operations
• More traffic on rural roads
• Changes to drainage and surrounding land
• Difficulty expanding a family operation
• Pressure to sell neighboring acreage

For a large ranch, even losing or isolating a relatively small portion of the property can change how the entire operation functions  something I walk through with every ranch seller I represent.

Water: A Growing Concern for Rural Communities

Texas already understands how valuable water is. Ranchers depend on reliable water for livestock. Farmers need it for crops. Rural households depend on wells and groundwater. Wildlife and surrounding ecosystems depend on those same resources.

Data centers can require significant amounts of water depending on their cooling systems and local climate. Texas A&M AgriLife Extension researchers have identified land, water, and energy competition as major issues rural communities should weigh when evaluating data-center development.

Recent Texas debates show how sensitive this issue has become. In West Texas, conflicts over groundwater have involved ranchers, farmers, cities, and regional water suppliers competing over a limited aquifer.

That raises an important question for rural property owners: if water becomes more valuable and industrial demand increases, who gets priority?

What About Equestrian Properties?

As a competitor myself, this is the section I care about most. For equestrian owners, the concerns can be even more specific than for row-crop or cattle operations. A horse property isn't simply a house sitting on acreage — it's an entire working environment. It can include:

• Pastures
• Barns
• Riding arenas
• Trails
• Paddocks
• Training areas
• Hay storage
• Livestock water systems
• Breeding and boarding facilities

The rural environment itself is part of the property's value. Construction activity, heavy truck traffic, bright nighttime lighting, noise, and changes to surrounding open space can all affect the day-to-day experience of operating an equestrian property things I evaluate on every equestrian listing I take.

These impacts don't necessarily mean every data center will create problems for nearby horse owners. Much depends on site design, setbacks, construction schedules, lighting, roads, and environmental controls. But when an industrial-scale facility is placed close to horse properties, the compatibility of the two land uses deserves serious consideration  both from buyers evaluating a purchase and from sellers pricing a property honestly.

Noise and Light Can Change Rural Life

One of the reasons people buy ranch and equestrian properties is the peace and privacy they provide. That can be difficult to preserve when large industrial projects arrive nearby.

Construction can bring:

• Heavy equipment
• Concrete trucks
• Semis
• Road construction
• Extended work hours
• Dust
• Temporary lighting

Once a facility is operational, there may also be mechanical equipment, backup power systems, security lighting, and other infrastructure running around the clock.

The Texas Tribune reported that agricultural land near a Texas data-center development experienced heavy construction traffic and bright construction lighting. For someone living on a rural ranch, these aren't minor inconveniences  they can fundamentally change the character of the property.

Electricity Infrastructure Can Bring Another Challenge

Data centers don't just need buildings and computers. They need enormous amounts of electricity. That means new substations, transmission infrastructure, power lines, and other supporting facilities may be required.

Texas has already approved major transmission investments intended to accommodate rapidly increasing power demand. Some of these projects have generated strong opposition from ranchers and landowners concerned about transmission routes crossing their properties and about who ultimately pays for the infrastructure.

For ranch owners, a transmission line can mean more than a line visible from the front porch. Depending on the route and easement, it can affect:

• Pasture layout
• Fencing
• Livestock movement
• Future construction
• Views
• Property use
• Resale considerations

Property Values: Opportunity and Risk

This is where the conversation becomes complicated. Data centers can bring investment and economic activity to a region. Some property owners may benefit from increased demand for land or infrastructure improvements.

But the opposite can also happen. A buyer looking for a secluded Texas ranch, horse property, or recreational estate may not place the same value on acreage located next to an industrial facility, major transmission line, or high-traffic construction corridor.

In other words, the value of rural land isn't determined by acreage alone. Location, privacy, views, water, accessibility, surrounding land use, and future development all matter  and all factor into how I price and market a ranch or equestrian property.

The Bigger Issue: What Kind of Texas Do We Want to Build?

The data-center debate isn't simply about technology versus agriculture. Texas needs both.

Artificial intelligence and cloud computing are creating enormous economic opportunities. At the same time, agriculture, ranching, equestrian businesses, and rural communities remain an essential part of Texas's identity and economy.

The real challenge is finding a way for development to happen without unnecessarily sacrificing the land and resources that make rural Texas special. That could mean better planning, stronger local input, careful site selection, responsible water management, appropriate setbacks, protection of agricultural land, and fair allocation of infrastructure costs.

A Rural Buyer's Checklist: What to Investigate Before You Buy

If you're a rancher, farmer, horse-property owner, or someone considering buying rural Texas land, it's worth looking well beyond the property lines. Before you write an offer, I encourage every client to investigate:

1. Access — How is the property reached today, and could future development change road conditions, traffic, or easement access?
2. Water — What is the water source (well, groundwater, surface water, co-op), and how might nearby industrial demand affect availability or quality?
3. Utilities What electric, gas, and communications infrastructure serves the property now, and is any new transmission or substation development planned nearby?
4. Easements What existing or proposed easements cross the property, and how could they affect fencing, pasture layout, or future construction?
5. Nearby development Are there data centers, industrial sites, or large-scale projects planned or under construction near the property?
6. Future land use What does the county or municipal future land-use plan show for the surrounding area over the next 5–10 years?
7. Surrounding development impact How could growth nearby affect privacy, noise, lighting, traffic, and the long-term resale value of the property?

Because when you're buying a Texas ranch or equestrian property, you're not just buying the house and the acreage. You're buying the environment around it.

Thinking About Buying or Selling Ranch, Land, or Equestrian Property?

This is exactly the kind of due diligence I walk clients through every day. As a Texas ranch owner, equestrian competitor, and real estate agent who specializes in acreage, ranch, and equestrian properties across North and West Texas, I bring a perspective most agents simply don't have: I understand what it actually takes to run land, keep horses, and manage livestock  not just what it takes to close a transaction.

Whether you're evaluating a ranch purchase, weighing whether to sell acreage near a proposed development, or simply want a second opinion on how nearby growth could affect your property's value, I'd welcome the conversation.

If you're considering a move in North or West Texas ranch, land, or equestrian real estate, reach out. I'll help you look past the fence line and understand what you're really buying  or selling.

Devon Camilleri

JPAR

Texas Real Estate License #0787195

Phone: 817-550-2241

Email: devoncamilleri@jpar.net