Landmark 15-year agreement positions Hut 8 at the center of next-generation AI infrastructure buildout
Hut 8 Corp. (HUT) has taken a major step in its transformation into a large-scale digital and energy infrastructure platform, announcing a 15-year, $7.0 billion lease with Fluidstack for 245 megawatts of IT capacity at its River Bend data center campus in Louisiana. The agreement, unveiled Tuesday, underscores the accelerating demand for power-dense infrastructure to support artificial intelligence and high-performance computing workloads.
Under the triple-net lease, the base-term contract value totals $7.0 billion over 15 years, including a 3% annual rent escalator. If all renewal options are exercised, the total value could rise to approximately $17.7 billion. The deal also grants Fluidstack a right of first offer for up to an additional 1,000 MW of IT capacity in future expansion phases, subject to additional power availability at the site.
A key element of the transaction is the financial backstop provided by Google, a subsidiary of Alphabet, which will cover lease payments and related obligations during the base term. That support significantly reduces counterparty risk and enhances the project’s bankability. Hut 8 expects the lease to generate cumulative net operating income of $6.9 billion over the base term, translating to an average of roughly $454 million annually.
Construction at the River Bend campus is scheduled to progress rapidly, with the first data hall expected to be completed and commissioned in the second quarter of 2027. Additional data halls are planned to come online later that year. Project-level financing is expected to cover up to 85% of total costs, with J.P. Morgan serving as lead left loan underwriter alongside Goldman Sachs, subject to final agreements and customary closing conditions.
The project reflects Hut 8’s institutional-grade execution model, designed to de-risk delivery through partnerships with blue-chip counterparties. Entergy will support power infrastructure, while Jacobs is serving as engineering, procurement, and construction management partner in collaboration with Vertiv, a leader in critical digital infrastructure.
Chief Executive Officer Asher Genoot said the River Bend agreement validates Hut 8’s power-first, partnership-driven approach. He emphasized that the company focused on securing the “right transaction, not just the first,” positioning River Bend as a template for future developments across Hut 8’s broader pipeline.
As AI-driven compute demand continues to surge, the River Bend campus highlights how energy, capital, and technology are converging to define the next era of digital infrastructure in the United States.
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