Core Insights - Jet.AI Inc. announced a planned joint venture with Choo Choo Express LLC to develop a 50-megawatt data center campus in Moapa, Nevada, with an estimated enterprise value of approximately $500 million [1][10]. Project Overview - The data center will be developed on approximately 20 acres of land in Moapa, with CCE expected to contribute the land to the joint venture [6]. - The site is strategically located near existing utility corridors and a major roadway, adjacent to a remediated coal plant that operates as a 200-megawatt battery energy storage facility [5][7]. Financial Commitments - Jet.AI plans to invest around $10 million over a two-year period, contingent on achieving specific development and infrastructure milestones [8]. - The enterprise value of a fully developed 50-megawatt data center is estimated to consist of about $400 million in project debt and $100 million in equity, with Jet.AI expected to receive approximately 70% of the equity promote [10]. Economic Projections - In a fully de-levered scenario, the equity portion could represent about 25% of the total enterprise value, equating to approximately $125 million [11]. - Based on the initial $10 million investment, the projected return could be around 1.5x during the development period and up to 11.5x over a longer-term horizon as debt is repaid [11]. Strategic Advantages - The Moapa campus is one of the few sites in the Southwest capable of supporting hyperscale inference workloads, offering low-latency connectivity to California and key Southwestern markets [7]. - The joint venture benefits from CCE's extensive experience in large-scale data center operations and local development knowledge [9].
Jet.AI Inc. JV for 50MW Data Center Campus in Moapa, Nevada