Hut 8 signs $9.8 billion AI lease for Texas data center

Hut 8 has fully commercialized its one-gigawatt Beacon Point data center campus in Nueces County, Texas, securing a second 15-year lease valued at $9.8 billion with an unnamed investment-grade tenant. The agreement, announced on July 20, 2026, doubles the same customer's footprint at the site, bringing its total contracted capacity to 704 megawatts of IT load.

The new lease covers 352 megawatts and completes the campus's capacity, following an initial lease for an identical amount announced earlier this year. The triple-net lease includes a 3% annual rent increase. Combined, the two Beacon Point leases carry a base-term value of $19.6 billion over 15 years. If the tenant exercises all available five-year renewal options, the total campus-level contract value could reach $50.2 billion.

Hut 8 will construct a second 352-megawatt data center, described as an "AI factory," based on Nvidia's DSX reference architecture. The company expects to deliver the first data hall of this second phase in the second quarter of 2028. Hut 8 also reported that a redesign of its initial data hall using Nvidia's infrastructure blueprint increased capacity by 57% without expanding the physical...