Home/Deal Room/Applied Digital locates $7.5B Delta Forge 1 AI lease in Louisiana

Data centers · Evidence brief

Applied Digital locates $7.5B Delta Forge 1 AI lease in Louisiana

Applied Digital + unnamed U.S. investment-grade hyperscaler + Cleco

Primary sourceSEC summary2026-05-26
Deal structureAI factory lease / hyperscale data-center campus and utility-backed site development
GeographyBoyce / Rapides Parish, Louisiana
Infrastructure layersData centers + cloud capacity + power + cooling
Disclosed scale$7.5B contracted value over an estimated 15-year lease term; 300 MW critical IT load at a 430 MW AI Factory campus; $3.6B Rapides Parish campus investment

Why it matters

The strategic read

Fills the missing Delta Forge 1 lane in Applied Digital’s AI Factory platform. The April lease disclosed the real contract economics, while Louisiana’s May project announcement identifies the power-and-place stack: Rapides Parish, Cleco support, two 150 MW facilities, closed-loop cooling, and mid-2027 initial operations.

Source-supported terms

What was disclosed

  1. 01

    Applied Digital announced on April 23 that it entered into a lease agreement with a new U.S.-based high investment-grade hyperscaler at Delta Forge 1.

  2. 02

    The lease represents approximately $7.5B in total contracted value over an estimated 15-year lease term.

  3. 03

    The lease covers 300 MW of critical IT load at Delta Forge 1, a 430 MW AI Factory campus purpose-built for AI and HPC infrastructure.

  4. 04

    Applied Digital says Delta Forge 1 spans more than 500 acres and is designed around high-density power delivery, advanced cooling architecture, and large-scale training and inference workloads.

  5. 05

    Louisiana Economic Development announced on May 26 that Delta Forge 1 is a $3.6B AI factory campus in Rapides Parish, near Boyce, Louisiana.

  6. 06

    The Louisiana announcement says the campus will initially include two facilities totaling 300 MW of critical IT load across approximately 300 acres, with direct access to energy infrastructure.

  7. 07

    Cleco will provide power support for the campus, and Applied Digital qualified for Louisiana state and local sales and use tax exemption on qualifying data-center equipment purchases or leases.

  8. 08

    Site development began in January 2026 and initial operations are expected to begin in mid-2027.

Disclosure boundary

What is known—and what is not

Primary SEC-filed company exhibit plus Louisiana Economic Development announcement; hyperscaler identity, full lease agreement, site power contracts, Cleco tariff/interconnection documents, project financing, EPC awards, detailed construction milestones and option mechanics are not public.