Hut 8 Signs $9.8B, 352 MW AI Data Center Lease at Beacon Point — Confidential Tenant, NVIDIA DSX, Q3 2027
Hut 8 has signed a 15-year, triple-net lease at its Beacon Point campus in Nueces County, Texas, covering 352 megawatts of IT capacity. The base-term contract value is $9.8 billion, with three five-year renewal options that push potential total value to $25.1 billion.
The tenant is not named. Hut 8 describes it only as a “high-investment-grade company” deploying dedicated infrastructure for AI training and inference at hyperscale. No further identification has been provided.
The numbers
| Metric | Value |
|---|---|
| IT capacity | 352 MW |
| Lease term | 15 years (triple net) |
| Base-term contract value | $9.8B |
| Annual rent escalator | 3.0% |
| Max potential value (all options) | $25.1B |
| Utility interconnection (campus total) | 1,000 MW |
| Initial energization | Q1 2027 |
| Data hall delivery | Q3 2027 |
NVIDIA is engaged as technology partner. The campus is designed to NVIDIA’s DSX reference architecture for gigawatt-scale AI factories, with Jacobs as EPCM lead and Vertiv supporting critical infrastructure systems.
The DSX expansion
The 352 MW figure is notable because the first design spec was 224 MW. As NVIDIA’s DSX reference architecture advanced toward commercial deployment — enabling higher rack-level power densities — Hut 8 redesigned the first data hall to accommodate 352 MW within the same land and utility footprint. A 57% increase in IT capacity with no new land or grid capacity acquired.
This is the practical consequence of rack density continuing to rise: the same physical infrastructure envelope carries substantially more compute as the reference architecture evolves. The tenant benefits; the developer captures some of that value through contract scope expansion.
Combined position
Beacon Point is Hut 8’s second AI campus commercialized under its power-first greenfield model, following River Bend. Across both campuses:
- Total contracted AI capacity: 597 MW of IT
- Aggregate base-term contract value: approximately $16.8B
- Average annual NOI: approximately $1.1B
Hut 8 intends to finance Beacon Point development through project-level financing to optimize cost of capital at the asset level while maintaining disciplined leverage metrics at the corporate level — the standard structure for large-scale AI data center development in 2026.
The $9.8B lease is among the largest single AI infrastructure deals announced by a non-hyperscaler this year. It also fits a pattern: significant capital is moving into long-duration AI compute contracts, with hyperscale tenants (identity confidential) locking in fixed-price capacity years ahead of delivery.