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Hut 8 Signs $9.8 Billion, 15-Year AI Data Center Lease in Texas

The take-or-pay deal signals a power-first pivot toward predictable cash flow from hyperscale AI campuses.

Overview

  • Hut 8 disclosed Wednesday a 15-year lease valued at $9.8 billion for 352 megawatts at its Beacon Point campus in Nueces County, Texas.
  • The triple-net agreement is with a confidential high–investment-grade tenant, includes a 3% annual rent escalator, and offers three five-year renewals that could lift the total to about $25.1 billion.
  • The site is being built to NVIDIA’s DSX design with partners Jacobs and Vertiv and tied to a 1,000 MW utility interconnection with AEP, with power expected in early 2027 and the first data hall in the third quarter of 2027.
  • The announcement sent shares up roughly 30% to 37% on Wednesday before a Thursday pullback, as analysts raised targets with Canaccord at $130, Needham at $128, and Arete at $136.
  • Hut 8 reported first-quarter revenue of $71 million and a net loss of $253.1 million driven by unrealized digital-asset marks, highlighted $1.3 billion in cash and bitcoin, and closed $3.25 billion in non-recourse notes to fund its River Bend campus.