Key Takeaways
- • Galaxy Digital acquires approximately 500 acres in McGregor, McLennan County, Texas for its second major data center campus in the state, with an initial development phase targeting 74 MW and potential to scale to multi-hundred megawatts.
- • The McGregor campus complements Galaxy's existing 1.6-gigawatt Helios flagship facility in West Texas, representing execution of the company's multi-campus strategy to capture structural demand growth in AI and high-performance computing infrastructure.
- • Galaxy executed a development agreement with the City of McGregor and utility services agreement for interconnection facilities; the campus will be developed in collaboration with the McGregor Economic Development Corporation (MEDC) and local partners.
- • The acquisition cost was approximately $7.5 million for the 500-acre site, with Galaxy operating as a privately funded infrastructure developer expected to contribute to local tax base and job creation.
- • CEO Mike Novogratz positioned the expansion as validation of Galaxy's community-focused data center model, leveraging proven operational track record as the largest employer and taxpayer in Dickens County (location of Helios campus).
Summary
Galaxy Digital Inc. (Nasdaq: GLXY) announced the acquisition of approximately 500 acres in McGregor, McLennan County, Texas, marking its second major data center campus investment in the state. The transaction was executed pursuant to a development agreement with the City of McGregor and will be located within the McGregor Industrial Park. Galaxy paid approximately $7.5 million for the site and has secured a services agreement with the local utility for interconnection facilities required to support the campus infrastructure.
The McGregor campus represents a disciplined expansion of Galaxy's multi-campus strategy to meet accelerating demand for AI and high-performance computing capacity. Initial development is expected to reach 74 megawatts, with Galaxy projecting the campus has potential to scale into a multi-hundred-megawatt facility. This expansion builds directly on the company's flagship Helios campus in West Texas, which operates at 1.6 gigawatts, positioning Galaxy as a substantial player in the infrastructure-heavy AI compute market.
The project will be developed in collaboration with the McGregor Economic Development Corporation (MEDC) and Heart of Texas regional partners. Galaxy has established a track record in rural Texas infrastructure development, currently operating as the largest employer and taxpayer in Dickens County. CEO Mike Novogratz emphasized that the company views robust compute demand as a structural, long-term market shift rather than a cyclical phenomenon, and positioned the McGregor expansion as evidence that privately funded data centers can serve as committed community partners while addressing national infrastructure needs.
The timing of this announcement reflects continued institutional focus on compute capacity constraints driven by generative AI adoption and enterprise demand for high-performance infrastructure. Galaxy's approach—combining significant capital deployment with local economic contribution—aligns with emerging institutional preferences for data center operators that build durable community relationships alongside revenue-generating assets.
The McGregor campus represents a disciplined expansion of Galaxy's multi-campus strategy to meet accelerating demand for AI and high-performance computing capacity. Initial development is expected to reach 74 megawatts, with Galaxy projecting the campus has potential to scale into a multi-hundred-megawatt facility. This expansion builds directly on the company's flagship Helios campus in West Texas, which operates at 1.6 gigawatts, positioning Galaxy as a substantial player in the infrastructure-heavy AI compute market.
The project will be developed in collaboration with the McGregor Economic Development Corporation (MEDC) and Heart of Texas regional partners. Galaxy has established a track record in rural Texas infrastructure development, currently operating as the largest employer and taxpayer in Dickens County. CEO Mike Novogratz emphasized that the company views robust compute demand as a structural, long-term market shift rather than a cyclical phenomenon, and positioned the McGregor expansion as evidence that privately funded data centers can serve as committed community partners while addressing national infrastructure needs.
The timing of this announcement reflects continued institutional focus on compute capacity constraints driven by generative AI adoption and enterprise demand for high-performance infrastructure. Galaxy's approach—combining significant capital deployment with local economic contribution—aligns with emerging institutional preferences for data center operators that build durable community relationships alongside revenue-generating assets.
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