Part 1 of 9

Executive Opportunity

Why San Antonio, AI demand gap, and strategic timing for high-density compute.

YoC Target

11%

Market Demand

3x Capacity

Power Availability by City

Current Usage vs Available Capacity (MW)

Currently Used
Available

Development Phase Progression

Revenue & Returns by Phase (100 MW Total)

Green & Gray Arbitrage

The San Antonio market offers a unique "Green & Gray" arbitrage opportunity. The Green infrastructure is the SAWS "Purple Pipe" Recycled Water system—the largest direct recycled water system in the nation. The Gray regulatory risk is Bexar County's classification as a "Serious" Ozone Non-Attainment area by the EPA.

Market Environment

The Texas data center market is transitioning from a "Connectivity" market to a "Power Capacity" market, facing "Compute Scarcity" defined by a critical bottleneck in firm power delivery. The vacancy rate in the Austin-San Antonio corridor is critically low at 2.0-2.3%, with under-construction capacity seeing pre-lease rates as high as 97%.

AI Demand Gap

The shift to high-density AI training clusters (NVIDIA H100/Blackwell architectures) has fundamentally broken the legacy grid planning models in ERCOT. Projected AI CAGR for the Texas market is 25%+ Year-over-Year.

Strategic Timing

There is a critical disconnect between AI hardware cycles and Utility infrastructure cycles, creating a competitive "famine" for available power capacity. CPS Energy is tracking large load requests exceeding 2,000 MW, while total operational data center inventory in San Antonio is only approximately 460 MW.

San Antonio Advantage

San Antonio has emerged as the critical relief valve for constrained markets like Northern Virginia and Dallas-Fort Worth. It is uniquely positioned for AI Training clusters because power cost stability and SAWS water availability are prioritized over low latency to financial hubs.

Project Pitch

The project is being pitched as an "AI Power Campus," with the primary value proposition being secured power interconnection and thermal rejection capacity (cooling), not merely square footage.