A major Treasure Coast development once envisioned as a sprawling surf community is taking a dramatically different turn: the waves are out, and a data center could be in.

The change involves Koa Bay, a roughly 200-acre project west of Fort Pierce near Interstate 95 and Midway Road — not The Point Surf Park currently under construction in Fellsmere.

A rezoning application submitted June 17 proposes replacing the previously approved Koa Bay surf-community concept with approximately 174 acres of light industrial zoning intended to accommodate a data center and 26 acres of general commercial development.

If approved, the commercial portion could include a hotel, gas station, restaurants and other businesses.

The Surf Community That Never Broke Ground

Koa Bay was approved in 2020 as an ambitious community centered around a Wavegarden surf lagoon.

Plans called for nearly 1,000 residences along with retail and office space, hotels, surfside bungalows and the artificial-wave attraction that would anchor the development.

But the surf park never broke ground.

Project owner Chad LaBonte has said developers were unable to raise enough capital to build the Wavegarden project. Electrical transmission lines crossing the property also complicated the residential design.

Now, those same power lines could help make the site attractive for an entirely different kind of development.

Why a Data Center?

Data centers require enormous amounts of electricity, making access to major electrical infrastructure an important consideration when companies select sites.

Two sets of power lines cross the Koa Bay property through existing easements. Infrastructure that created difficulties for the original residential concept could therefore become an advantage for a potential data-center developer.

The rezoning itself would not authorize construction of a data center.

According to the application, the property owner intends to find a partner company after securing the necessary zoning. That company would still have to submit a site plan and receive city approval before moving forward.

No data-center partner, construction schedule or opening date has been announced.

The developers have also indicated they are searching for another location in St. Lucie County for the surf concept.

A Very Different Surf Park Story Just Miles North

The Koa Bay reversal is especially notable on the Treasure Coast because another artificial-wave project is moving in the opposite direction.

The Point Surf Park in Fellsmere is under construction and has been targeting an opening in 2026. Its centerpiece is a massive freshwater surf basin approximately 700 feet long.

The two projects are unrelated, but their proximity creates a striking contrast.

One Treasure Coast surf park is approaching the point where its enormous basin can be filled with water. Another surf-community proposal has been abandoned as its developer looks toward one of the fastest-growing — and increasingly controversial — forms of development in Florida.

Data Centers Becoming a Florida Political Fight

The Koa Bay proposal arrives as communities across Florida are wrestling with the rapid expansion of large-scale data centers.

Local governments have enacted or considered temporary moratoriums while officials study issues including electricity demand, water consumption, groundwater resources, noise, land use, infrastructure requirements and the effects these facilities could have on neighboring properties.

The debate does not mean every data center uses the same amount of water or electricity. Cooling technology, facility size and design can produce substantially different impacts.

But the scale of newer AI-oriented facilities has made communities increasingly unwilling to approve them without first understanding what they could mean for local infrastructure and residents.

Water, Power and Growth Are Becoming Local Questions

The timing makes the Koa Bay pivot particularly relevant for Indian River County residents.

In Fellsmere, The Point Surf Park's massive freshwater basin has already prompted questions from some nearby residents about water demand and private wells.

Those concerns should not be treated as proof that the surf park will damage neighboring wells. Determining whether there is a measurable risk requires examining the project's actual water source, permitted withdrawals, expected refill requirements and groundwater data.

But the questions reflect a larger issue communities throughout Florida are confronting: how much water, electricity and infrastructure should major new developments be allowed to consume, and who ultimately carries the cost?

Whether the project is an artificial-wave lagoon or a massive data center, residents increasingly want those questions answered before — not after — development occurs.

For the Koa Bay property, the transformation could hardly be more dramatic.

A development once marketed around surfing, homes and a Wavegarden lagoon could instead become a large industrial technology site.

Surf park out. Data center in?

For now, it remains a proposal — but on a Treasure Coast already debating rapid growth, water resources and infrastructure, it is one worth watching closely.

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