Galaxy Digital has closed on roughly 500 acres in McGregor, Texas, where it plans to build a campus for artificial intelligence and high-performance computing. The land sits inside the McGregor Industrial Park and generated about $7.5 million for the seller. The deal was signed through a development agreement with the city.
Why McGregor?
McGregor is a small town about 20 miles west of Waco, with a population around 5,000. The industrial park offers access to power and fiber infrastructure, two things that matter a lot for data centers. The city has been actively recruiting tech investment, and this agreement locks in development terms for the site.
This is Galaxy Digital's second major data center investment in Texas. The company already operates a facility in the state, though details on that site weren't disclosed in the announcement. The new campus will focus on AI workloads and high-performance computing, sectors that have seen explosive demand for compute capacity.
The deal specifics
The land sale itself was valued at roughly $7.5 million. Beyond that, the development agreement with the City of McGregor outlines the terms for building out the campus. Neither Galaxy nor the city disclosed the total expected investment or timeline for construction.
Galaxy Digital, led by Mike Novogratz, is primarily known as a crypto financial services firm. But the company has been expanding into infrastructure, betting that the same power and cooling expertise used for crypto mining can be repurposed for AI and HPC. The McGregor site is part of that broader strategy.
Galaxy's Texas footprint
Texas has become a magnet for data center development, thanks to cheap land, deregulated power markets, and a business-friendly climate. Galaxy's first Texas data center was built for crypto mining. The new campus signals a pivot toward serving enterprise AI clients, though Galaxy hasn't named any tenants yet.
The McGregor Industrial Park already hosts other industrial tenants. Adding a high-tech campus could reshape the local economy, but it also raises questions about power and water usage in a region that's no stranger to drought and grid strain.
What's not clear is how much power the campus will draw or when construction will start. The development agreement likely includes milestones, but those weren't made public.
