Cipher Digital Inc. (NASDAQ: CIFR) announced on September 25, 2026 that the lease term at its Barber Lake data center in Colorado City, Texas has grown from 10 years to 20 years. The extension adds roughly $5.2 billion of contracted revenue and lifts the total for the site to more than $9 billion.
The original 10-year lease with tenant Fluidstack carried $3.8 billion of contracted revenue. The second 10-year term comes from a commitment by an unnamed leading AI lab, which brings the site to a full 20-year contracted life.
Capacity at Barber Lake is scheduled to come online in phases. First rent commencement is expected in the fourth quarter of 2026, with data halls delivered in stages through the first quarter of 2027.
The lease also sets out how construction cost overruns are shared. Cipher Digital covers the first $359.3 million of costs above budget. Beyond that threshold, the tenants reimburse 50 percent of the additional costs as rent spread across the 20-year period.
Chief executive Tyler Page described the extension as evidence of the lasting value of the infrastructure the company is building at the site.
Texas has become one of the most active US states for large data center leasing, and long contract terms of this kind give operators a fixed revenue base for facilities that carry high construction budgets. The Barber Lake site sits in West Texas, where the company is delivering capacity for AI workloads under the two tenant commitments.
Source: MarketScreener (GlobeNewswire) - https://www.marketscreener.com/news/cipher-digital-expands-barber-lake-lease-term-to-20-years-increasing-revenue-to-over-9-billion-ce785adfdc80fe25