Southland Secures $118M Project Go-Ahead Led by Data Center Work

Southland Secures $118M Project Go-Ahead Led by Data Center Work

Southland Holdings, Inc. has announced that it has received official notices to proceed on three major infrastructure projects with a combined value of approximately $118 million. These projects will be executed through its Civil segment subsidiary, Oscar Renda Contracting, and are expected to be added to the company’s backlog in the fourth quarter of 2025. The new contracts highlight Southland’s continued growth in critical infrastructure sectors, including data centers and water management systems.

The largest of the three awards is a $48 million data center project for a private client located in the southwestern United States. This project focuses on delivering essential infrastructure to support the growing demand for data processing and storage facilities. A key component of the work involves the installation of chilled water pipelines, which play a crucial role in maintaining optimal operating temperatures within data centers. Cooling systems are vital for ensuring the reliability and efficiency of servers and other equipment, particularly as demand for digital services continues to expand.

In addition to the pipeline installation, the project includes various site development activities designed to integrate the cooling infrastructure seamlessly into the broader facility. Given the mission-critical nature of data centers, the project requires a high level of precision, coordination, and adherence to strict performance standards. Construction is expected to progress steadily, with completion targeted for 2026. This contract underscores Southland’s capability to deliver specialized infrastructure solutions for technologically advanced facilities.

The second project, valued at $40 million, involves the expansion of the Capers Ridge Pump Station for the Coastal Water Authority in Cleveland, Texas. This initiative will be delivered using the Construction Manager at Risk (CMAR) method, which allows for early collaboration between the contractor and project stakeholders to manage risks and optimize costs. The expansion represents a significant upgrade to an existing facility that plays a critical role in regional water supply.

The scope of work includes the installation of four new pumps, along with discharge lines, large-diameter valves, and electro-hydraulic actuators. These upgrades are designed to dramatically enhance the station’s operational capacity. Upon completion, the facility’s raw water pumping capacity will increase from 240 million gallons per day (MGD) to 500 MGD, effectively more than doubling its current output. This improvement is expected to strengthen long-term water supply reliability for the surrounding region, supporting population growth and economic development.

Notably, Oscar Renda Contracting originally constructed the Capers Ridge Pump Station, giving the company valuable familiarity with the facility’s design and operational requirements. This prior experience is expected to contribute to a more efficient expansion process. The project is scheduled for completion in 2027 and represents a continuation of Southland’s involvement in critical water infrastructure development.

The third project, valued at $30 million, has been awarded by the City of Cape Coral, Florida, and focuses on enhancing water resilience in the region. Known as the NE Reservoir Pump Station and Transmission Main project, the work will involve constructing a raw water transmission pipeline, a new pump station, and associated site infrastructure. The system will transport raw water from the Southwest Aggregate Mine to the Gator Slough Canal, creating a more reliable water supply network.

This project addresses the growing need for drought resilience in Cape Coral, a city that has experienced increasing pressure on its water resources due to population growth and changing climate conditions. By improving the city’s ability to store and distribute raw water, the project aims to reduce vulnerability during periods of low rainfall and ensure a more stable supply for residents and businesses. Construction is expected to be completed in 2027, aligning with the city’s long-term infrastructure planning goals.

Collectively, these three projects demonstrate Southland’s strategic focus on infrastructure sectors that are essential to modern life. From supporting the digital economy through data center development to enhancing water supply systems in rapidly growing regions, the company continues to position itself as a key player in delivering complex and high-impact construction solutions.

The addition of these contracts to Southland’s backlog also provides greater revenue visibility and reinforces confidence in the company’s growth trajectory. By leveraging the expertise of Oscar Renda Contracting, Southland is able to execute projects that require specialized knowledge in civil construction, particularly in areas such as pipeline installation, pump station development, and large-scale infrastructure upgrades.

As demand for resilient infrastructure continues to rise, driven by urbanization, climate challenges, and technological advancement, companies like Southland are playing an increasingly important role in shaping the future of essential services. The successful execution of these projects will not only strengthen the company’s portfolio but also contribute to improved quality of life for communities across the United States.

With work set to begin following the issuance of notices to proceed, Southland and its subsidiary are now focused on mobilizing resources and delivering these projects on schedule and to the highest standards. The company’s track record and technical capabilities position it well to meet the challenges of these complex assignments while continuing to build long-term value for its clients and stakeholders.

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