Meta and funds managed by Blue Owl Capital have formed a joint venture to develop and operate the Hyperion data center campus in Richland Parish, Louisiana. The agreement, signed on October 21, 2025, outlines that Meta will provide construction management and property management services for the project.
Blue Owl Capital will own an 80% stake in the joint venture while Meta retains a 20% share. Both parties are set to contribute their respective portions toward the estimated $27 billion needed for the campus’s development. This figure covers buildings as well as long-term investments in power, cooling, and connectivity infrastructure.
As part of establishing the joint venture, Meta transferred certain land and construction-in-progress assets related to the project. Blue Owl contributed approximately $7 billion in cash to the partnership, with Meta receiving a one-time distribution of about $3 billion.
Doug Ostrover and Marc Lipschultz, Co-CEOs of Blue Owl Capital, stated: “We’re proud that our funds are partnering with Meta on the development of the Hyperion data center campus — an ambitious project that reflects the scale and speed required to power the next generation of AI infrastructure. Blue Owl’s ability to deliver substantial capital at scale, combined with our deep experience supporting hyperscalers, makes us uniquely positioned to help bring mission-critical digital infrastructure to life. We look forward to continuing our work with Meta and contributing to the long-term growth of the Richland Parish community.”
Susan Li, CFO of Meta, commented: “Our AI ambitions will be realized through our ability to deliver the infrastructure to support it. Our partnership with Blue Owl Capital to develop the Hyperion Data Center is a bold step forward — combining Meta’s deep expertise in building and operating world-class data centers with Blue Owl’s strength in infrastructure investment.”
Rachel Peterson, VP of Data Centers at Meta said: “We are proud to be part of the Richland Parish community and we look forward to continuing to strengthen our partnership for years to come. Construction is well underway with thousands of construction workers on site and, once online, the project will support over 500 operational jobs.”
Meta has entered into lease agreements with the joint venture for use of all facilities upon completion. These leases have an initial term of four years with options for extension. To manage cost efficiency alongside strategic flexibility, Meta provided a residual value guarantee covering up to 16 years after operations begin; under specific conditions following non-renewal or termination of a lease, this could require a capped payment based on campus value.
Some capital from Blue Owl is being raised through debt issued privately by PIMCO and other bond investors.
Morgan Stanley & Co. LLC acted as exclusive financial advisor for Meta during this transaction and was also sole bookrunner for associated private securities offerings. Latham & Watkins LLP served as legal counsel for Meta regarding this deal; Eversheds Sutherland advised on leasing matters; Arthur D. Little LLC provided commercial due diligence; Marsh offered risk analysis and insurance services; Arup supplied technical and environmental engineering reviews; Kirkland & Ellis LLP represented Blue Owl Capital funds legally; Milbank LLP advised Morgan Stanley on securities offerings.
Further information about potential risks related to this transaction can be found under “Risk Factors” in Meta's most recent quarterly report available at its Investor Relations website (investor.atmeta.com) or through the SEC website.