Galaxy Digital Inc. has acquired approximately 500 acres in McGregor, McLennan County, Texas, marking the company's second major data center investment in the state and a concrete step in its publicly stated strategy to build a multi-campus high-performance computing business to meet what it describes as a structural, long-term increase in demand for artificial intelligence infrastructure.

The acquisition was made pursuant to a development agreement with the City of McGregor for the construction and operation of an AI and high-performance computing data center campus within the McGregor Industrial Park.

Galaxy's purchase of the 500-acre site provided approximately USD 7.5 million in land-sale revenue to the City.

Initial Phase Targeting 74 MW With Expansion Plans Through 2030

The campus will be developed in collaboration with the McGregor Economic Development Corporation and Heart of Texas Electric Cooperative.

Galaxy has secured an initial agreement from the utility to support the construction of the interconnection facilities required to power the site.

The initial phase of development is expected to reach 74 megawatts, and Galaxy plans to coordinate with the utility to support development above the 75 MW large load threshold in ERCOT.

The company currently expects the initial phase of the campus to begin receiving power in 2028, with operations ramping thereafter, subject to the completion of development milestones.

Following the development and completion of additional transmission infrastructure by the utility, Galaxy believes the McGregor campus has the potential to grow into a multi-hundred-megawatt campus through 2030.

Galaxy Commits to Private Substation and Full Tax Obligations From Day One

Under the terms of the development agreement, Galaxy has made several specific commitments tied to the construction and ongoing operation of the campus.

The company will fund and build a private electrical substation on the site and will provide full financial security as required by the utility for incidental upgrades to local infrastructure.

Galaxy described this arrangement as intended to insulate ratepayers from costs associated with the electrical infrastructure required to support campus development.

Galaxy has also committed to carrying its full tax obligations to the City of McGregor from the first day of operation, adding an estimated minimum of USD 130 million to the local property tax base.

The company said those revenues will support schools, emergency services, and other community needs in McLennan County.

Water-Efficient Cooling System to Mirror Helios Campus Design

The McGregor facility will use a closed-loop cooling system that recirculates water internally, a design consistent with the approach Galaxy employs at its Helios campus in Dickens County, West Texas. Galaxy said the system is intended to keep water use low.

The company will also fund additional water infrastructure required for the project as specified in the development agreement with the City.

Construction Expected to Support Several Hundred Trade Jobs

Galaxy stated that construction of the McGregor campus is expected to support several hundred trade partners and construction jobs.

Permanent full-time operations roles are expected to follow at competitive annual salaries that were agreed upon with the City as part of the development agreement. The company did not provide a specific figure for the number of permanent positions anticipated.

McGregor Follows Galaxy's 1.6-Gigawatt Helios Campus in Dickens County

Galaxy acquired its Helios campus in Dickens County, West Texas, in 2022 and describes it as one of the largest AI and high-performance computing data center campuses in North America.

Helios has more than 1.6 gigawatts of ERCOT-approved power capacity and a long-term anchor lease in place.

In Dickens County, Galaxy holds the distinction of being the largest employer and taxpayer and has invested in community recreation, public safety, local broadband expansion, and workforce development programs in partnership with local schools.

Recently, Galaxy delivered 133 MW of critical IT load at Helios Data Center Campus.

Mike Novogratz, Founder and CEO of Galaxy, framed the McGregor acquisition in the context of the company's track record in rural Texas communities.

"We've spent the last several years proving in Dickens County that a privately funded data center can be a real, long-term partner to a rural community, adding to the tax base, funding local infrastructure, and creating jobs," Novogratz said.

"McGregor is the next step in our strategy to build a disciplined, multi-campus data center business. The demand for compute is a structural shift, not a passing cycle, and we believe the right way to meet it is by building infrastructure that strengthens the communities that host it."

Multi-Campus Strategy Targets Surging Demand for High-Performance Computing

Galaxy described the McGregor acquisition as a first concrete step in a strategy the company has laid out publicly, aimed at building a disciplined, multi-campus data center business.

The company frames demand for AI and high-performance computing as a structural shift rather than a temporary cycle, and has characterized its approach as one that ties infrastructure development to active community engagement in the jurisdictions where it builds and operates.

Galaxy Digital Inc. trades on the Nasdaq under the ticker symbol GLXY and describes itself as a global leader in digital assets and data center infrastructure.

In addition to its data center operations, the company provides institutional services including trading, advisory, asset management, staking, self-custody, and tokenization technology.