Former U.S. Energy Secretary Rick Perry Co-Founds Ambitious REIT
Fermi America, a data center real estate investment trust (REIT) co-founded by former U.S. Energy Secretary Rick Perry, has announced its intention to pursue a
$13.16 billion valuation in its upcoming U.S. initial public offering. The company is riding the wave of explosive growth in AI infrastructure and cloud computing demand, setting itself apart with an integrated approach to energy and data center development[1][3].
Sector Backdrop: Surging Demand, Scarce Power
The data center REIT sector is booming in 2025:
- North American primary market vacancy rates for data centers plummeted to just 1.6% in H1 2025, despite a record 8,155 MW of new supply[1].
- Large-scale facilities (10 MW+) saw average lease rates increase by up to 19%[1].
- Power scarcity dominates the landscape, with U.S. data center power demand expected to surpass utility supply by 50%[1].
- Secured power and energy innovation are now critical differentiators for sector leaders.
Fermi’s HyperGrid: Tackling Power Scarcity with Nuclear and Renewables
Fermi’s HyperGrid project in Amarillo, Texas, proposes a
game-changing integration of power generation and data center infrastructure:
- 11 gigawatts (GW) of electricity capacity across natural gas, solar, battery, and advanced nuclear reactors.
- By 2026, 50% of HyperGrid’s energy is expected to come from nuclear sources[1].
- This model aims to address grid constraints head-on, offering hyperscale and AI tenants a more secure, lower-cost power supply.
Project Financing and Competitive Landscape
Fermi has already secured
$350 million in financing, including a $100 million Series C round and a $250 million senior loan led by Macquarie Group[1]. The project will compete directly with sector leaders like Digital Realty and Equinix, both of which are valued at over $59 billion. However, there are questions about risks related to nuclear technology deployment and the sustainability of high-growth REIT valuations given current macroeconomic headwinds[1][3].
Conclusion
As AI demand and the challenges of power supply reshape the U.S. data center sector, Fermi America’s energy-integrated approach—and its IPO ambitions—will be closely watched by investors and industry experts in the coming year.
