Hut 8: How Secured Power Built a Fully Leased AI Campus

Hut 8 has fully leased its 1GW Beacon Point campus in Texas before construction is complete, according to the company. The deal is with the same investment-grade customer that signed the first phase agreement.

Rather than seeking tenants once construction finishes, Hut 8 secured agreements before development was complete. This approach could create predictable revenue backed by an investment-grade customer.

The arrangement could mean Beacon Point becomes one of the largest contracted AI infrastructure developments in the US. The campus now carries commitments across both phases of its build.

Terms of the second lease

The latest agreement covers 352MW of IT capacity. According to Hut 8, the deal is worth US$9.8bn over an initial 15-year term.

Combined with the Phase 1 agreement, the tenant has now committed to 704MW at Beacon Point. This leaves the campus fully contracted against its 1GW utility capacity.

Beacon Point, in Nueces County, Texas, has become Hut 8's first fully commercialised AI data centre campus.

The second phase will see Hut 8 deliver another 352MW AI factory built to NVIDIA's DSX reference architecture. The phase is supported by 500MW of utility capacity.

Initial delivery of the first Phase 2 data hall is expected in the second quarter of 2028.

Asher Genoot, Chief Executive Officer of Hut 8, says: "The real test of our power-first approach is what our partners are willing to commit against it."

Asher added: "Our tenant at Beacon Point chose to double its footprint at the site, the strongest validation an asset can receive. We took this greenfield site from first lease to full commercialisation in just months.

"That speaks to the quality of the sites we originate, the credibility of our delivery, and the long-term orientation of our partnerships. The opportunity ahead of us is to apply the same model across our development pipeline."

Power secured ahead of demand

The project follows Hut 8's strategy of securing power infrastructure before locking in compute demand. Beacon Point's entire 1GW capacity is already covered through an interconnection agreement with American Electric Power (AEP) Texas.

This means no additional utility capacity is required for the second phase. The site was originally underwritten to support its affiliated customer, American Bitcoin, before being fully leased to an investment-grade AI customer under the two separate 15-year agreements.

Hut 8 also adapted the campus design during development. The first data hall was redesigned around NVIDIA's DSX reference architecture, which increased IT capacity by 57% without requiring additional land or utility infrastructure.

That redesign supported the customer's decision to expand its footprint on substantially the same commercial terms as the original lease.

Construction preparations are already under way, with site works in progress and long-lead equipment secured. Initial energisation remains scheduled for the first quarter of 2027.

A wider AI portfolio

The Beacon Point announcement also expands Hut 8's broader AI infrastructure portfolio. The company now holds 949MW of contracted AI data centre capacity, made up of 704MW at Beacon Point and 245MW at its River Bend campus.

Together, these two projects represent a cumulative base-term contract value of US$26.6bn. According to Hut 8, they are expected to generate more than US$1.75bn in average annual net operating income once stabilised.

Every AI data centre in Hut 8's contracted portfolio is leased to, or financially backed by, investment-grade counterparties. That combination of long-term customer commitments and secured utility capacity has become part of the company's development strategy.

Beacon Point could show how securing energy infrastructure early shortens the path from greenfield site to fully contracted AI campus, even before the final data halls come online.