Total lease for 400MW and valued at $11 billion over a 15 year period
CoreWeave has agreed to lease an additional 150MW of data center capacity from Applied Digital.
This builds on a previous leasing agreement made in June 2025 for 250MW, netting Applied Digital around $7 billion over the 15-year contract term. This has now been increased to $11bn.
The lease is for Applied Digital's Ellendale, North Dakota campus, dubbed Polaris Forge 1.
At the time of signing the original lease agreement, CoreWeave retained the option to secure the additional 150MW.
“These long-term leases mark a defining moment for Polaris Forge 1, one of North America’s most ambitious data center projects,” said Wes Cummins, chairman and CEO of Applied Digital.
“Purpose-built for artificial intelligence and high-performance computing, the campus combines massive power capacity with rapid deployment and is designed to scale up to 1 gigawatt. With the first 100MW facility scheduled to be operational in Q4 2025, a second 150MW facility scheduled to come online in mid-2026, and a third 150MW facility planned for 2027, we believe Polaris Forge 1 will serve as a launchpad for the future of AI infrastructure.”
Construction on the campus began in September 2022. The site was designed to host 400MW of critical IT load, with the company claiming it has more than 1GW of power capacity currently under various stages of load study.
According to Cummins, the data centers will be designed with a PUE of 1.18 and a "near-zero" water consumption. He added: “Combined with abundant, low-cost energy and over 200 days of naturally occurring free cooling annually, management believes a 100MW data center customer could save up to approximately $2.7bn over a thirty-year period as compared to the current industry data centers in other regions."
The company is already operating a 180MW data center in Ellendale.
Elsewhere, the company has a 106MW facility in Jamestown, North Dakota, known as JMS01, and is also planning a 200MW facility in Iowa.
Applied Digital closed $375 million in financing for its Ellendale campus in February 2025, and in May, it was reported that the company had proposed a "multi-billion-dollar" data center in Toronto, South Dakota, that could offer 430MW of IT capacity.
At the same time as announcing the new lease with CoreWeave, Applied Digital published its quarterly and full-year earnings.
The company saw a quarterly revenue of $38m, up 41 percent year over year, and had an adjusted EBITDA of $1m.
The full year revenue was $144.2m, up six percent, and adjusted EBITDA $19.6m.
According to the company, the growth was primarily due to "revenue increasing by $20.4m due to our 180MW Data Center Hosting Facility in Ellendale, ND operating at full capacity during the current year as opposed to the prior year when that facility experienced a power outage during the second half of fiscal year 2024."
Applied Digital was founded as Applied Blockchain but does not mine its own Bitcoin, traditionally hosting hardware on behalf of other cryptomining firms. It now also hosts HPC and AI hardware amid massive demand for available capacity. Applied is also offering its own cloud services and has previously said it will host and offer access to Nvidia Blackwell GPUs.
CoreWeave leases data center space from the likes of Lincoln, Chirisa, Flexential, TierPoint, Digital Realty, Switch, and Core Scientific, as well as self-building data centers. This week, the AI cloud provider announced it had closed a $2.6bn delayed draw term loan facility to support the purchase and maintenance of "advanced equipment, hardware, and cloud infrastructure systems to deliver services under a long-term agreement with OpenAI."
