Business

KKR and ECP to Build 190 MW Data Centre in Texas

The US energy investment company Energy Capital Partners (ECP) and global investment firm KKR will invest $4 billion to develop a 190 MW hyperscale data centre campus in Bosque County, Texas, marking the first investment from their $50 billion strategic partnership, which was signed last year, to scale AI-ready infrastructure across the US.

The data centre, which is expected to become operational by Q4 2026, is one of the largest AI infrastructure projects in the Dallas–Fort Worth region, representing a total investment of nearly $4 billion.

The multiphase campus is being delivered through a joint venture between ECP and CyrusOne, a global data centre developer and operator. The initial build will span more than 700,000 square feet and deliver 144 MW of IT load, with expansion capacity already built into the site.

Uniquely, the Bosque campus will be co-located with Calpine’s Thad Hill Energy Center, a natural gas power plant. Calpine has signed a long-term agreement to supply dedicated power to the data centre, creating what is believed to be a first-of-its-kind energy model between a hyperscaler and a power provider.

The arrangement is designed to offer 24/7 power resilience while supporting local grid stability by enabling redirection of power during times of peak demand or scarcity in the ERCOT grid.

ECP President Tyler Reeder said that this first investment through their strategic partnership combines ECP’s power expertise with KKR’s track record in data centre development.

“With ample capital and deep sector relationships, we’re positioned to deliver integrated, scalable power and digital infrastructure for hyperscalers,” Reeder added.

Waldemar Szlezak, Global Head of Digital Infrastructure at KKR, said that AI demand has been rewriting the infrastructure playbook. Hyperscalers don’t just need capacity, they need certainty, integration and speed. This project brings all of that together.

Support ERCOT Grid

The campus will also incorporate sustainable design principles, including climate-neutral initiatives, water conservation, and biodiversity protection, with the flexibility to support the Electric Reliability Council of Texas (ERCOT) grid during emergencies.

The partnership will focus on accelerating data centre, power generation, and transmission infrastructure development to support the expansion of artificial intelligence (AI) and cloud computing worldwide.

“With our combined footprint and capabilities, we have over 8 GW existing data centre pipeline, 100 GW of currently operating and development-ready power generation, and significant experience working with stakeholders across both industries to help realize this opportunity quickly and responsibly,” Waldemar Szlezak, partner and global head of digital infrastructure, KKR, said.

The collaboration aims to support large-scale model training, tuning, and inferencing across different regions. The partners will work with industry players, including utilities, power producers, and data centre developers, to speed up the development of large data centre campuses for hyperscalers.

KKR will fund the partnership using its existing infrastructure, real estate strategies, and insurance accounts. ECP will fund it through existing and future infrastructure capital pools.

Global Business Magazine

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