Riot Platforms Inc (Riot), a digital infrastructure and Bitcoin mining company has signed a 15 year lease with an unnamed Frontier AI Lab for its entire Corsicana data center campus in Texas, covering 910 MW of critical IT capacity and representing approximately US$ 28 billion in contracted revenue with AI safety and research company Antropic as the first tenant.
According to a press release, the triple net powered land lease covers a contiguous 332 acre site and is expected to generate approximately US$ 1.8 billion in average annual rent over the initial term. Riot estimates a net operating income (NOI) margin of approximately 99 percent. The contract value could reach US$ 54 billion if the tenant exercises both five year extension options.
The project will be delivered in three phases, 400 MW in September 2027, 200 MW in January 2028 and the remaining 310 MW in July 2028. Rent for each phase will begin no later than 60 days after delivery of its powered pads and will be payable on the full contracted capacity regardless of utilization.
“Today, we are excited to announce the largest lease in Riot’s history: a 15-year triple-net powered land lease with a leading Frontier AI Lab for the entirety of our Corsicana campus, representing 910 megawatts of critical IT capacity and approximately $28 billion of contracted revenue over the initial term,” said Jason Les, CEO, Riot Platforms. “Together with our AMD contract and the lease signed with the same Frontier AI Lab at Rockdale earlier this year, Riot has contracted 1,151 megawatts and approximately US$ 38 billion of data center revenue, which we expect will generate more than US$ 2 billion of average annual net operating income at full deployment, firmly establishing Riot as a leading developer of large-scale digital infrastructure.”
Riot estimates total capital costs of US$ 5.5 billion, or approximately US$ 6 million per IT MW, the company will contribute US$ 2 million per MW toward site work and electrical infrastructure. While the remaining US$ 4 million per MW will be reimbursed by the tenant in stages after each phase is delivered and begins generating rent.
The reimbursements are expected to be financed through non-recourse project debt backed by contracted rental income. If financing on comparable market terms is unavailable, the tenant will fund the reimbursements directly and recover the amounts through credits against rent over the remaining lease term. Riot expects to fund its share from existing liquidity and does not currently anticipate issuing equity for the project.