Soluna Consolidates Control of Texas Data Center Site, Pivots to AI Strategy
April 17, 2026
In a strategic move underscoring the intensifying competition for power-rich data center locations, Soluna Holdings has acquired full ownership of its Project Dorothy 1A data center facility in Texas. The company purchased the remaining stake from its financial partner, Spring Lane Capital, for $16.5 million, signaling a shift in focus from cryptocurrency operations to artificial intelligence infrastructure.
The transaction grants Soluna 100 percent ownership of the Silverton-based site, which is part of a larger campus. This campus currently includes the operational Dorothy 1A and 1B facilities, with a combined capacity of 50 megawatts historically used for Bitcoin hosting, and the separate 48MW Dorothy 2 data center. The acquisition follows Soluna's recent purchase of the adjacent 150MW Briscoe Wind Farm, which provides dedicated, renewable power to the campus.
According to CEO John Belizaire, full control is foundational for the company's new direction. "Spring Lane Capital was the right partner for the first chapter of Dorothy," Belizaire stated. "With Briscoe secured and Dorothy 1A now fully owned, we have the foundation for what comes next: a vertically integrated AI campus, from energy generation to compute infrastructure, that we control end to end. That control is what gives us an accelerated path to power for AI customers."
The deal was structured with an initial $6 million payment and a deferred balance due in July 2026, partially financed through a $12 million unsecured promissory note maturing the following year. Soluna indicated it is exploring further ownership consolidation of other campus assets, including Dorothy 1B and Dorothy 2, while also considering new equity partners for future construction phases.
The strategic pivot is significant for the industry, highlighting the migration of capital and infrastructure from cryptocurrency mining toward AI compute. Soluna reports that its Dorothy campus is expected to transition to AI as its primary workload in the medium term. This shift is reflected in the company's broader pipeline, which now exceeds 4.3 gigawatts across multiple sites, with newer projects like Kati 2 and Grace already designed for AI-focused deployments. The company also has a planned 300MW facility at the Texas campus. Soluna currently operates 123MW of capacity across 11 sites in various stages of development.
Source: datacenterdynamics
