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BETTESWORTHConstruction
artificial intelligence

What Is Being Built off Highway 1694? Beacon Point AI Data Center Explained

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A large AI data-center campus called Beacon Point is planned in Nueces County, near Robstown and Farm-to-Market 1694. Developer Hut 8 lists a 525-acre site with 1,000 megawatts (MW) of utility capacity. Two announced 15-year leases cover 352 MW of IT capacity apiece, or 704 MW combined. Those figures describe a project being developed in phases—not a campus that is already fully built or operating.

What is the Beacon Point project?

Beacon Point is an AI data-center campus developed by Hut 8 in Nueces County, near Robstown and FM 1694. Hut 8 describes it as a multi-phase, multi-tenant project intended to support artificial-intelligence workloads, rather than a cryptocurrency-mining facility. The company says its first announced facility is designed to the NVIDIA DSX reference architecture; that is a stated design specification, not confirmation of particular computing equipment installed at the site. Hut 8’s project page describes the campus and its plans.

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The location is commonly described in relation to Highway 1694, but a specific street address should not be inferred from that shorthand. The project information identifies the county, Robstown area and FM 1694; it does not establish an official parcel address.

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How large is it, and what do the capacity figures mean?

Hut 8 lists 1,000 MW of utility capacity across 525 acres. Utility capacity refers to the power provision planned for the project. IT capacity refers to the power allocated to the data-center computing load covered by the leases. They are different measures, so the 1,000 MW figure should not be described as leased computing capacity or as capacity already energized.

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Figure What it describes Status and qualification
1,000 MW Campus utility capacity Listed by Hut 8 for Beacon Point; not a statement that all capacity is operating or leased.
352 MW Phase 1 IT capacity Covered by a 15-year lease announced May 6, 2026.
352 MW Additional IT capacity Covered by a second 15-year lease announced July 20, 2026.
704 MW Combined contracted IT capacity The two announced leases total 704 MW; this does not mean the campus is fully operational.

Hut 8 said the second lease brought the existing tenant’s contracted capacity at Beacon Point to 704 MW and put the campus’s base-term contract value at $19.6 billion. That is the company’s announced contract-value projection, not revenue already received. The lease announcements describe the counterparty as a high-investment-grade tenant but do not name it. The May 6 announcement and the July 20 announcement provide the lease details.

What is the construction and development status?

The announcements describe a staged development process: development, commercialization, construction and delivery. The leases show that Hut 8 has commercialized the announced capacity; they do not establish that every phase has been completed, energized or delivered.

In its August 4, 2026 second-quarter update, Hut 8 said 500 MW of energy capacity for Beacon Point Phase 2 had moved into the company’s “Energy Capacity Under Construction” category after June 30. The same update reported 949 MW of contracted IT capacity across Hut 8’s entire campus portfolio, not Beacon Point alone. Hut 8’s second-quarter results distinguish those portfolio-wide and project-specific figures.

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What does Hut 8 project for investment and jobs?

Hut 8 estimates that the first two phases together would involve about $17 billion in capital investment, around 1,900 construction jobs and about 230 permanent operations roles. The company assigns roughly $8.5 billion, 945 temporary construction jobs and 115 permanent roles to each phase. These are developer estimates, not independently verified spending or completed job counts. Hut 8’s project page provides the estimates.

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What has the developer said about water, power bills, traffic and noise?

The available figures and impact statements below are Hut 8’s descriptions or estimates; they are not independent measurements or findings.

Water use

Hut 8 says the cooling system will be closed-loop and that municipal water will not be used for cooling. The company says the loop would be filled once with water sourced outside Nueces County and remain in use for approximately four to seven years without ongoing consumption or withdrawals from local sources. It estimates that standard facility needs would use about 10,000 gallons of municipal water per day per phase. These are the developer’s stated design and estimates; the source and quantities have not been independently verified.

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Electricity bills

Hut 8 says Beacon Point is not expected to raise residential electricity rates and says it has prefunded required infrastructure costs. This is the company’s position, not a guarantee that rates cannot change or independent proof of the project’s effect on bills.

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Traffic and noise

Hut 8 expects construction to increase traffic and says it is working with the Texas Department of Transportation to minimize disruption. It expects daily traffic to be limited after construction. On noise, the company says it is studying potential impacts and may add mitigation if needed. These are plans and expectations, not measured impacts.

Which organizations has Hut 8 identified?

Hut 8 identifies AEP, Vertiv and Jacobs as Phase 1 project counterparties and names the Corpus Christi Regional Economic Development Corporation among Texas stakeholders on the project page. The lease counterparty has not been publicly named in the reviewed announcements, so its identity should not be guessed.

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