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This mall was a symbol for San Francisco’s ‘doom loop’. Now it could become a datacenter project

Downtown San Francisco has shown signs of revival since being battered by the Covid pandemic, which led to what many called a “doom loop” of vacant buildings, a worsening homelessness crisis and dwindling public transit. But one highly visible reminder of the city’s struggle to recover remains: the San Francisco Centre mall, which sits at the heart of these urban renewal efforts and has been conspicuously boarded up since January of this year. A number of ideas have been floated for the mall’s reopening, includi…

By the Truvace desk2 min read1 sourceJournalismTRV-2026-2025· cite & verify
This mall was a symbol for San Francisco’s ‘doom loop’. Now it could become a datacenter project

In brief

A development firm asked San Francisco officials about datacenter permits for the boarded-up San Francisco Centre mall on behalf of an unnamed potential buyer. The firm's chief executive says it has not applied for permits and describes the plan as a public-facing AI exhibit, not a conventional server-based datacenter.

The proposal matters because downtown businesses near the closed mall are struggling, and datacenter backlash is growing. Whether the moratorium would apply, whether the buyer will win the bid, and whether the promised public benefits would materialize all remain unresolved.

Main points

  1. KG Growth Partners asked about datacenter permits in June for an unidentified potential buyer of the 350,000 sq ft former Bloomingdale's property.
  2. The firm's chief executive calls the plan a community-based AI exhibit with culture, design, retail, sports, education spaces and a rooftop park.
  3. Mayor Daniel Lurie signed a 45-day moratorium on datacenter development so planners can study community impacts.
  4. Deli owner Helen Nasser says the plan would worsen conditions for the few remaining nearby businesses.

The problem

A nearby deli owner says a datacenter in the closed mall would hurt neighborhood foot traffic, after her business reportedly fell at least 60% since the mall closed.

The rundown

The mall has been boarded up since January 2026 and has become a visible symbol of downtown San Francisco's slow recovery. Other proposed reuses include a multi-level sports complex, housing and traditional retail.

The developer says the project would not include actual residences and would dedicate most space to public use. It also describes a regenerative urban energy center that recycles power and water, though the article offers no independent verification of those claims.

Nasser has run her convenience store on the same block for nearly 30 years and says she has watched several nearby stores close since the pandemic. She wants the space used for families and foot traffic that helps small businesses.

Sources

  1. JournalismThe Guardian2026-10-20

The debate