As the digital economy grows, so too does the infrastructure powering it. This includes data centers, which are notorious for their vast energy consumption and material intensity. Traditional data center design has prioritized speed, cost, and scalability, often at the expense of sustainability and community impact. These facilities, some exceeding a million square feet, are increasingly at odds with surrounding neighborhoods due to their size, aesthetics, and noise. Compounded by growing pressure to meet carbon reduction targets, operators now face a critical question: How can we design data centers that are more sustainable and resilient while still meeting performance demands? This research explores strategies for reducing the environmental footprint of data centers through site selection, material choice, and modular design. Our interdisciplinary team sought to evaluate and recommend actionable solutions that balance operational requirements with sustainability goals. Key among our concerns were embodied carbon reduction, responsible land use, and construction efficiency. By interrogating typical design practices and applying lifecycle analysis and comparative modeling, we identified three pathways to sustainable impact: adaptive site suitability, material innovation, and modularization. Together, these findings support the development of next-generation data centers with lower environmental impact, smarter design, and greater sensitivity to their surroundings.