Galaxy Helios Data Centers II LLC, an indirect wholly-owned subsidiary of Galaxy Digital Inc., announced its intention on July 22, 2026, to offer $3.507 billion in senior secured notes due 2031. This private offering targets qualified institutional buyers and non-U.S. persons. The proceeds are designated to finance the development and construction of a major data center project in Dickens County, Texas. This project will include two buildings with eight data halls, providing a combined total of 400 megawatts (MW) of utility capacity and 260 MW of critical IT capacity. The offering is subject to market conditions and there is no guarantee it will be completed on the described terms.
The new facility, known as Phase II of the Helios campus, will be built on an approximately 260-acre property. It is entirely leased to CoreWeave, a specialized cloud provider focused on GPU-accelerated AI and HPC workloads. The lease agreement with CoreWeave is for a 15-year base term, with two 5-year extension options. Key financial details include a 13.7% starting MRC gross yield on cost and an annual rent escalator of 3.0-5.0% linked to the Consumer Price Index (CPI). Rent payments are projected to commence in the second quarter of 2027, with net operating income margins forecasted at approximately 90%.
The illustrative financial projections for the project indicate significant income and debt management. Minimum remaining contracted lease payments are expected to be $10.4 billion over the initial lease term, excluding a $100 million option payment already received. The $3.507 billion debt draw is anticipated to see substantial amortization by 2040, and cumulative post-debt-service cash flow is projected to reach $3.765 billion by 2043. CoreWeave, the tenant, has a substantial revenue backlog of $99.4 billion as of Q1 2026 and a market capitalization of $43.6 billion, with Nvidia holding an 11.5% equity stake and an obligation to purchase up to $6.3 billion of residual cloud capacity through April 2032.
