Texas-based investment firm Dynamix Capital Partners, together with Staubach Capital and Soda Springs, has closed a US$ 95 million fund to finance the security deposits landowners need to reserve grid capacity for AI data center projects in Texas.
The consortium set up the first-of-its-kind investment vehicle, SSSC Batch Zero Fund, LP to finance deposits for about 1.7 GW of requested capacity, including a 1.2 GW site next to Austin and a 480 MW site next to the Dallas-Fort Worth metroplex. An ultra-large investment platform that has partnered with Dynamix is anchoring the fund as its credit partner according to a press release.
“The rapid buildout of AI infrastructure is creating entirely new capital requirements across the power ecosystem, and for landowners in particular,” said Andrejka Bernatova, Managing Partner Dynamix Capital Partners. “The challenge is no longer just identifying sites or demand. It is securing the scalability and capital needed to move those projects forward. We believe the SSSC Batch Zero Fund addresses a real financing need within that story and helps support the role that Texas will play within it.”
The deposits are part of Electric Reliability Council of Texas’ (ERCOT) Batch Zero process, the first phase of a new interconnection regime for large electricity users such as AI data centers. Landowners and project sponsors seeking power allocations had to post deposits with their utility by 10 July, at a rate of US$ 50 million per gigawatt. The deposits will be governed by a Public Utility Commission of Texas rule expected to be adopted in September. Power allocations are expected in April 2027.
Whether those deposits are refundable is still unclear, and that gap is what the consortium set out to price. “Our thesis centered on the ambiguity surrounding the refundability of these large deposits,” said Philip Wagley, Soda Springs Founder. “We set out to structure a financing package attuned to the pending regulation.”
“Energy and infrastructure have proven to be the industry’s greatest bottleneck for America’s AI buildout, and this consortium saw a critical unmet need in that exact intersection,” said Jeff Staubach, Staubach Capital Founding Partner. He added that many banks couldn’t underwrite the capital fast enough as the deadline approached.
Dynamix said it expects to back future ERCOT batches and the broader wave of large-scale power and digital infrastructure development across Texas.