7/105 sources · 3 publishersUpdated Oct 19, 20:38 UTC
Host Digital announces $1.25 billion 15‑year take‑or‑pay lease for Site I and plans investment‑grade project debt
Host Digital Inc. disclosed that its Oklahoma Site I has a 15‑year take‑or‑pay lease worth about $1.25 billion in contracted rent, with first‑year rent of $67 million and a 3 % annual increase. The 55‑megawatt facility is slated for delivery in the first quarter of 2027. The company said it will finance the build with investment‑grade debt secured by the lease and does not expect to issue new equity.
Why it matters
The lease provides a fully contracted revenue stream that is insulated from interest‑rate swings, and the reliance on investment‑grade debt should limit financing costs and avoid dilution for shareholders ().
Key facts
- 1Site I has a 15‑year take‑or‑pay lease valued at about $1.25 billion in contracted rent. stocktitan.net
- 2First‑year rent for Site I is approximately $67 million and increases 3 % each year. quiverquant.com
- 3Site I provides 55 megawatts of power to the tenant. stocktitan.net
- 4Delivery of Site I is targeted for the first quarter of 2027. tradingview.com
- 5Host plans to finance the project with investment‑grade debt secured by the lease. tradingview.com
- 6Site II is being pursued with a 12‑year lease worth $391 million in base rent. tradingview.com
Summary written by AlphAI AI Desk from 5 of 5 sources. Not investment advice. Figures are as stated by the linked sources.