Starwood to Convert Bitcoin Mining Sites into AI Data Centers with MARA
Starwood Property Trust will convert a portfolio of MARA’s U.S. Bitcoin mining sites into hyperscale data center campuses structured site-by-site to support enterprise and AI workloads. The partnership leverages Starwood’s development capabilities and low-cost power sites to enable flexible compute switching between AI and mining, potentially diversifying future cash flows.
1. Partnership Overview
Starwood Property Trust will collaborate with MARA, one of the largest U.S. Bitcoin miners, to convert existing mining sites into hyperscale data center campuses designed for enterprise and AI workloads, forming projects on a site-by-site basis.
2. Site Selection and Structure
The deal excludes assets held in third-party joint ventures and targets sites with low-cost power and robust grid access, allowing tailored campus builds that optimize energy efficiency and infrastructure resilience for high-performance computing.
3. Operational Flexibility
By combining MARA’s energy infrastructure with Starwood’s development and operating expertise, the campuses can dynamically shift compute capacity between Bitcoin mining and AI tasks in response to real-time pricing and demand fluctuations.
4. Financial Implications
Although no enterprise lease agreements have been announced, the partnership aims to move Starwood beyond property finance toward power-to-compute monetization, potentially diversifying revenue streams and enhancing long-term earnings profiles.