Fleet Data Centers has broken ground on its first data center project, a 230-megawatt facility located in Storey County outside Reno, Nevada, with Nevada Governor Joe Lombardo attending the groundbreaking ceremony this week.

Fleet's Maiden Project Takes Shape in Storey County

The development is being built on a 256-acre portion of land owned by Tract, the master-planned data center park company that created Fleet as its development arm.

The Storey County campus marks Fleet's first confirmed development since the company was launched by Tract Capital to build data centers across both Tract's planned parks and other sites.

Local news outlets MyNews4 and KoloTV covered the groundbreaking event, which drew attention for both the scale of the project and the presence of the state's governor, signaling the significance of the investment to Nevada's technology infrastructure landscape.

Fleet has stated its broader focus is on developing what it describes as mega-scale campuses with a prioritized target of single-user campuses of 500 megawatts and above, making this 230-megawatt Storey County project a starting point in what the company envisions as a larger development pipeline.

Fully Leased Under Long-Term Triple Net Agreement

The project has been fully leased prior to completion. Fleet confirmed the facility is 100 percent leased to a single tenant, described only as an entity carrying an AA-minus investment grade credit rating and a market capitalization in excess of three trillion dollars.

The lease is structured as a triple net arrangement, commonly referred to as NNN, running for 197 months, the equivalent of approximately 16.4 years.

A triple net lease structure places responsibility for taxes, insurance, and maintenance costs on the tenant rather than the landlord, a format that is increasingly common in large-scale data center transactions and provides predictable, long-term revenue streams for the developer and its investors.

Fleet has not publicly disclosed the name of the tenant. However, rumors circulating in February of this year suggested that Nvidia is the company behind the lease.

The description of a tenant with a market capitalization exceeding three trillion dollars is consistent with a small number of companies in the technology sector, though Fleet has declined to confirm or deny the speculation.

Tract's Land Strategy in Northern Nevada

The broader context for this development stretches back to 2023, when Tract announced plans to develop a data center park in Storey County.

Tract was founded by Gran Van Rooyen, the former chief executive of Cologix, and has pursued an aggressive land acquisition strategy in the region since then.

The company has assembled more than 11,000 acres of land ownership in the Storey County area through multiple parcel acquisitions.

Tract's business model differs from traditional data center developers.

Rather than constructing facilities itself, Tract focuses on acquiring land and taking it through the zoning and entitlement process, delivering shovel-ready parcels that other companies can then build on.

Fleet was created specifically to take the next step in that process, functioning as the development entity that designs and constructs the actual facilities.

This vertical integration between land preparation and construction reflects a broader trend among data center platforms seeking to control more of the development pipeline as demand for large-scale capacity continues to accelerate, particularly from hyperscale and artificial intelligence workloads that require enormous amounts of power and space.

Nevada as a Data Center Destination

The Reno and Storey County area has emerged as a significant destination for data center investment in recent years, attracting developers drawn by factors including available land, access to power, and Nevada's business-friendly regulatory environment.

The attendance of Governor Lombardo at the Fleet groundbreaking ceremony underscores the state government's interest in cultivating this sector as a source of economic activity and employment.

Storey County, which sits adjacent to Washoe County and the city of Reno, has seen considerable interest from technology companies and data center operators seeking large land parcels that are difficult to assemble closer to established urban centers.

Fleet's Ambitions Beyond the First Project

While the Storey County facility is Fleet's first confirmed project, the company has positioned itself as a developer with ambitions well beyond a single campus.

Its stated focus on campuses of 500 megawatts and above places Fleet in competition with some of the largest data center developers in North America, who are similarly chasing hyperscale tenants requiring massive, purpose-built infrastructure at a single location.

The 197-month lease term on this first project, combined with the financial profile of the unnamed tenant, provides Fleet with a stable foundation from which to pursue subsequent developments.

The long duration of the lease and the investment-grade rating of the tenant are characteristics that typically support favorable financing conditions for developers seeking to fund future projects.

Tract's accumulation of more than 11,000 acres in Storey County also suggests that the groundbreaking on this 256-acre parcel represents only an early phase of what could become a much larger development program in the region, with the remaining land available to support additional campuses as demand warrants and tenants are secured.