DealsJun 8, 2026, 04:06 PM
Applied Digital Secures $5.2B Lease for Fifth AI Factory Campus
AI Summary
Applied Digital has secured a new 15-year take-or-pay lease agreement for 210 MW at its Delta Forge 2 AI Factory campus with a U.S. based high investment-grade hyperscaler. This agreement represents approximately $5.2 billion in base-term contracted revenue, potentially reaching $12.7 billion with renewal options over 30 years. This marks the company's fifth AI Factory campus and expands its total contracted portfolio to 1.4 GW of critical IT load and approximately $36 billion in base-term revenue, with 70% backed by investment-grade hyperscalers. Initial operations for Delta Forge 2 are expected to commence in Q1 2028.
Key Highlights
- New 15-year take-or-pay lease for 210 MW at Delta Forge 2 AI Factory campus.
- Approximately $5.2 billion in base-term contracted revenue from the new lease.
- Potential revenue of $12.7 billion if all renewal options are exercised over 30 years.
- This marks Applied Digital's fifth AI Factory campus, with initial operations anticipated Q1 2028.
- Total contracted portfolio now 1.4 GW critical IT load across five campuses.
- Total contracted base-term lease revenue reaches approximately $36 billion.
- Approximately 70% of contracted revenue is backed by U.S. investment-grade hyperscalers.
Price Impact
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