Jailhouse Studios data center in the old Hamilton County jail
A developer plans to turn the old eight-story county jail in downtown Chattanooga into film and music studios plus a small AI data center. The county limited the data center part to 12,000 square feet. Some residents signed a petition against the data center.
Where things stand: Hamilton County Commission approved the lease in March 2026, with the data center capped at 12,000 square feet.
🕒 Latest update (March 18, 2026): Hamilton County commissioners approved the Jailhouse Studios plan and lease, and capped the data center at 12,000 square feet.
What we know
- 📍 WhereFormer Hamilton County Justice Center, 601 Walnut Street, downtown Chattanooga (geocoded with the Census geocoder), Chattanooga, Hamilton County
- 🏢 CompanyUrban Story Ventures
- 💸 Tax breaksCounty lease: $375,000 a year to start, rising 3% a year over a 35-year term.
❓ Still unanswered
Nobody has answered these in public yet. Can you help find out?
- How many megawatts will the jail data center use? 🙋 I'll find out
- Which company will run the data center? 🙋 I'll find out
What happened so far
- March 18, 2026Hamilton County commissioners approved the Jailhouse Studios plan and lease, and capped the data center at 12,000 square feet.
Local votes and rules
✅ Approved
Hamilton County Commission approved leasing the old county jail at 601 Walnut Street in downtown Chattanooga to Urban Story Ventures for a film and music hub with a small AI data center. An amendment caps data storage at 12,000 square feet. Rent starts at $375,000 a year and rises 3% a year over a 35-year term.
An aerial photo of the area.
Where this comes from
- Hamilton County commissioners approve Jailhouse Studios redevelopment plan · Local 3 News · March 18, 2026
- Hamilton County advances plan to convert old jail into AI data center and music studio · NewsChannel 9 · March 2026
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