AI Data Center Leases Stretch to 20 Years as Power Becomes the Asset

NEW YORK, Sept. 30, 2026 /CNW/ — American News Group News Commentary – The global AI data center market is projected to grow from USD 471.59 billion in 2026 to USD 2,023.52 billion by 2032, a compound annual growth rate of 27.5%, according to MarketsandMarkets. Much of that spending is now being locked in through long-term leases, as companies with power already connected sign 15- to 20-year take-or-pay contracts with investment-grade tenants and then finance the buildout against that rent. Active Companies from around the markets with current developments this week include: Host Digital Inc. (NYSE American: HOST), CleanSpark, Inc. (NASDAQ: CLSK), Hut 8 Corp. (NASDAQ: HUT), TeraWulf Inc. (NASDAQ: WULF), and Core Scientific, Inc. (NASDAQ: CORZ).

Fortune Business Insights sizes a narrower slice of the same market, the AI data center facilities themselves, at USD 21.27 billion in 2026 rising to USD 133.51 billion by 2034, a 25.8% CAGR. The two firms define the market differently, but both point the same way: sustained, double-digit growth in the physical capacity that artificial intelligence workloads run on.

What has changed in 2026 is the shape of the contracts. Over the past several months, operators across the sector have announced leases measured in decades rather than years, often with tenants described as high-investment-grade, and structured as triple-net or take-or-pay so that rent is owed whether or not the space is fully used. That structure lets developers raise project-level debt secured by a single site and its lease, rather than betting the whole company on each build.

The scarce input is power. Grid interconnections and utility service agreements can take years to secure, which is why so many of this year’s largest leases have been signed at sites that already had electrical capacity in place, including former industrial plants and former bitcoin mining campuses. The companies below are examples of that model at very different scales.

Host Digital Publishes First Letter to Shareholders After NYSE American Debut, Setting Out Five Questions It Will Answer for Every Site and Lease

• Site I in northeast Oklahoma carries a 15-year take-or-pay lease signed in August for 55 MW gross (43 MW critical IT) capacity.
• The lease carries $1.25 billion in contracted base-term rent with 3% annual increases and approximately $67 million in first-year rent.
• Delivery of Site I is targeted for the first quarter of 2027, with approximately $40 million in cash invested in the project to date.
• The Company has exercised its right to acquire a second Oklahoma site from its Sponsor, which has four additional sites representing more than 450 MW of potential gross power capacity in its pipeline.

Host Digital Inc. (NYSE American: HOST) develops, acquires, owns and operates data centers for AI and high-performance computing workloads. Its shares began trading on the NYSE American under the symbol HOST on September 18, 2026, following the completion of the merger of Host Digital Infrastructure LLC into the former Healthy Choice Wellness Corp. on September 17.

On September 29, Chief Executive Officer Harmol Samra published the Company’s first letter to shareholders. The letter describes Host Digital’s focus on what it calls “RightScaled” facilities of 20 MW to 100 MW, sited where power already exists or is available in the near term, and leased to customers under long-term contracts.

“The opportunity I see for Host Digital starts with a building, power that’s already there, and a customer who needs a place to put it to work,” said Samra in the letter. “Putting that existing foundation to work is at the heart of our Speed to Power approach.”

Site I is the first test of that approach. It sits in northeast Oklahoma, at a location with an existing industrial building and a utility-owned electrical substation, and the Company says it has acquired the electrical service agreements for the site. The 15-year take-or-pay lease signed in August covers 55 MW of gross capacity and 43 MW of critical IT capacity, with $1.25 billion in contracted base-term rent, 3% annual escalators and approximately $67 million in first-year rent. Delivery is targeted for the first quarter of 2027.

The letter is built around five questions that Samra committed to answering for each project: what Host owns or expects to acquire, what it must pay to get it, what it must spend to deliver it, when rent starts, and what cash is expected to reach Host after project costs.

“My responsibility as Host’s CEO is to build lasting value for you, our shareholders,” Samra wrote. “Each time we announce a site or a lease, I’m committed to explaining what it means for you as a Host shareholder.”

Growth beyond Site I is intended to come through the Company’s Sponsor, the privately held Host Infrastructure Holdings, under a 24-month preferential rights agreement covering qualifying projects. On September 22, Host Digital said it had exercised its right to acquire a second site from the Sponsor: approximately 20 MW gross and 16 MW critical IT in northeast Oklahoma, where the Sponsor holds a 12-year take-or-pay lease with a publicly traded AI cloud provider carrying approximately $391 million in base-term rent. That acquisition remains subject to negotiation and definitive agreements. The Sponsor’s wider pipeline covers four additional sites with more than 450 MW of potential gross power capacity, which the letter describes as deliverable by the end of 2027.

“Infrastructure is ultimately constrained by how quickly operators can secure power and bring capacity online,” Samra said at the time of the listing.

On funding, the letter says approximately $40 million in cash has been invested in Site I to date and that a recent offering raised an additional $17.5 million before fees and expenses. Host Digital intends to finance projects at the project level, secured by individual sites and leases and repaid from rental income, a structure the Company says is designed to protect the broader business from the risks of any single project. Host Digital also continues to operate 19 natural and organic grocery stores across six states through its Healthy Choice Wellness division.

There are several risks associated with the Company’s plans. Site I is not yet delivered, and rent under the lease depends on completing construction and delivery on the stated timeline. Project financing has not been completed, and additional capital may be required on terms that are not yet known. The second site acquisition is subject to negotiation and definitive agreements, and the Sponsor pipeline sites are not owned by Host Digital. The Sponsor is a related party and receives the majority of its compensation in Host Digital shares, which may result in dilution. The Company must continue to satisfy NYSE American listing requirements. Readers should review the Company’s filings with the SEC at www.sec.gov.

CONTINUED… Read this and more news from the sector at: https://AmericanNewsGroup.com

The sector has been showing many promising openings over the past month, a few companies stand out from the crowd:

CleanSpark, Inc. (Nasdaq: CLSK), a bitcoin miner building out AI data center capacity, closed a $2.276 billion offering of 7.875% senior secured notes due 2031 on September 25, 2026, through its wholly owned subsidiary CSDC Finance I, LLC. The notes are secured by the Sandersville, Georgia facility and its project entity, and the Company said the proceeds will finance the remaining cost of the build-out, reimburse prior equity contributions to the site and fund debt service reserves.

The financing sits behind a lease CleanSpark announced in July: a 20-year lease with a high-investment-grade global technology company for 175 MW of critical IT load at Sandersville, carrying $6.6 billion in base-term revenue and up to $11.6 billion with two five-year extensions, with rent expected to begin in the fourth quarter of 2027. The structure mirrors the sector pattern: a single site, a single long-term tenant, and debt raised against that site rather than the parent.

Hut 8 Corp. (Nasdaq: HUT) closed a $1.07 billion senior secured revolving credit facility on September 28, 2026, led by J.P. Morgan with Citi, Goldman Sachs and Morgan Stanley among a 12-bank syndicate, priced initially at SOFR plus 175 basis points. The Company said the facility strengthens parent-level liquidity and funds collateral requirements for site development.

“We are building a capital structure designed to scale with the business while giving us control over when, where, and how we deploy capital,” said Sean Glennan, Chief Financial Officer of Hut 8.

The facility supports a leasing run at the Beacon Point AI data center campus in Nueces County, Texas. Hut 8 signed a 15-year, 352 MW lease there in May with a high-investment-grade counterparty, carrying $9.8 billion in base-term value, and in July announced that the same tenant had doubled its footprint with a second 352 MW phase, bringing contracted base-term value at the campus to $19.6 billion on a triple-net basis.

TeraWulf Inc. (Nasdaq: WULF) received approval from the Kentucky Public Service Commission in August for a 482 MW power agreement with Big Rivers Electric Corporation and Kenergy Corp. at its Justified Data Campus in Hawesville, Kentucky, a site the Company estimates will require $4.0 billion to $4.5 billion of investment for site development and initial data halls.

“Power is the gating factor for AI infrastructure, but how you bring that power to market matters,” said Paul Prager, Chief Executive Officer of TeraWulf.

The approval follows a lease TeraWulf disclosed in July with Anthropic PBC for approximately 401 MW of critical IT load at the Justified campus, with a 20-year term and options to extend for up to 10 additional years. According to the filing, Anthropic’s payment obligations are expected to be supported by an investment-grade credit, with delivery phased from late 2027 into early 2028.

Core Scientific, Inc. (Nasdaq: CORZ), which already runs a data center campus in Muskogee, Oklahoma, completed the acquisition of Polaris DS in August for approximately $444 million in cash, adding approximately 440 MW of gross, grid-connected power capacity under electric service agreements with Oklahoma Gas & Electric. The Company is advancing a plan to take the Muskogee campus to approximately 1.5 GW of gross power, or about 1.0 GW leasable, with its next delivery of approximately 82 MW expected in the second half of 2027.

“The Polaris acquisition is another example of how we are strategically expanding our power portfolio to support our long-term growth,” said Adam Sullivan, Chief Executive Officer of Core Scientific.

Core Scientific has also secured $600 million of senior secured credit facilities, a $100 million revolver and a $500 million letter of credit facility, arranged by Morgan Stanley with JPMorgan, Goldman Sachs and TD Securities, for working capital and credit support under its utility agreements. The Company said the facilities are expected to release approximately $300 million of restricted cash.

Track the Signals Before the Crowd

The best positioning happens before the crowd catches on. Eagle Eye is a real-time investor signal-intelligence platform that surfaces sentiment shifts, news flow, and trending tickers as they form, so you see attention building instead of chasing it. Watch it live at eagle-eye.dev.

Contact Information: American News Group

Media Contact: [email protected] 

DISCLAIMER: Nothing in this publication should be considered personalized financial advice. We are not licensed under securities laws to address your particular financial situation, and no communication from us should be deemed personalized financial advice. Please consult a licensed financial advisor before making any investment decision. This is a paid advertisement and is neither an offer nor a recommendation to buy or sell any security. We hold no investment licenses and are neither licensed nor qualified to provide investment advice. The content in this report or email is not provided to any individual with a view toward their individual circumstances. This article is being distributed for Market Equities Limited, a company incorporated under the laws of Ireland (“MEL”), which wholly owns and operates American News Group. MEL has been paid a fee for Host Digital Inc. advertising and digital media from Creative Direct Marketing Group (“CDMG”). MEL has not been paid a fee directly by Host Digital Inc., and MEL is not affiliated with, and is a separate and independent entity from, CDMG and Host Digital Inc.. MEL also expects to receive further compensation as part of an ongoing digital media effort to increase visibility for the company. No further notice will be given, but let this disclaimer serve as notice that all material, including this article, has been reviewed and approved by Host Digital Inc. and CDMG. This compensation constitutes a conflict of interest as to our ability to remain objective in our communication regarding the profiled company. Because of this conflict, individuals are strongly encouraged not to use this publication as the basis for any investment decision. MEL and its owners, operators, directors, and affiliates do not own any shares of Host Digital Inc., but reserve the right to buy and sell shares of Host Digital Inc. at any time without any further notice commencing immediately and ongoing, in the open market, through private placements, and/or through other investment vehicles. There may also be third parties who hold shares of Host Digital Inc. and may liquidate their shares, which could have a negative effect on the price of the stock. While all information is believed to be reliable, it is not guaranteed by us to be accurate. Individuals should assume that all information contained in this publication is not trustworthy unless verified by their own independent research. Because events and circumstances frequently do not occur as expected, there will likely be differences between any predictions and actual results. Always consult a licensed investment professional before making any investment decision. Be extremely careful, investing in securities carries a high degree of risk; you may lose some or all of your investment. Cautionary Note Regarding the Business Combination and Development Projects: Host Digital Inc. became a publicly listed company through the merger of Host Digital Infrastructure LLC with and into a subsidiary of Healthy Choice Wellness Corp., completed September 17, 2026. As a newly combined company it has a limited operating history in its current form and must continue to satisfy the listing requirements of the NYSE American. Site I has not been delivered, and rent under its lease depends on completion of construction and delivery on the expected timeline. Project financing for Site I has not been completed. The acquisition of the second site is subject to negotiation and the execution of definitive agreements, and there is no assurance it will be completed. Sites in the Sponsor’s pipeline are not owned by Host Digital Inc., and there is no assurance any will be offered to or acquired by the Company. The Sponsor is a related party of the Company. Contracted rent figures are base-term amounts stated by the Company and are not guaranteed revenue or cash flow. References to CleanSpark, Inc., Hut 8 Corp., TeraWulf Inc. and Core Scientific, Inc. are provided solely as market and sector context. Those companies are not peers, competitors, or financial comparables of Host Digital Inc., their results are not indicative of Host Digital Inc.’s prospects, none of them is involved in or has reviewed this article, and no partnership, affiliation, or endorsement is implied. Market-size figures cited in this article are third-party projections that may not be realized and do not represent revenue or addressable market expectations for Host Digital Inc.. Eagle Eye Disclosure: Eagle Eye is an investor signal-intelligence platform affiliated with the publisher of this article, and this reference constitutes promotion of an affiliated product. Eagle Eye is not a broker-dealer, and nothing in the platform or in this article is financial, investment, tax, or legal advice. Data provided in the platform is for informational purposes only and may be delayed. Always do your own research before making any investment decision. Forward-Looking Statements: This publication contains forward-looking information which is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ from those projected in the forward-looking statements. Forward-looking statements in this publication include, without limitation, statements regarding the delivery of Site I and the commencement of rent; the completion of project financing; the acquisition of a second site from the Sponsor; the Sponsor’s pipeline and the timing of any future projects; and the Company’s strategy and growth. These statements are based on the Company’s public disclosures and the publisher’s interpretation of them, and are subject to risks including the availability of financing, construction and delivery delays, tenant performance, power and equipment availability, the ability to execute definitive agreements, related-party conflicts, dilution, share price volatility, the ability to maintain the Company’s stock exchange listing, and the risk factors described in Host Digital Inc.’s filings with the SEC. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this publication. Forward-looking statements in this publication are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated. The publisher undertakes no obligation to update any forward-looking statement, except as required by law.

View original content to download multimedia:https://www.prnewswire.com/news-releases/ai-data-center-leases-stretch-to-20-years-as-power-becomes-the-asset-302894559.html

SOURCE American News Group