Meta and funds managed by Blue Owl Capital have established a joint venture (JV) to oversee the development and ownership of the Hyperion data centre campus in Richland Parish, Louisiana.
The Facebook owner will be responsible for construction and property management of the facility.
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Under the terms of the agreement, Blue Owl Capital’s managed funds will hold an 80% stake in the JV, while Meta will retain a 20% share.
Both parties have committed to contribute funds proportionate to their ownership in the project. The development is estimated to cost $27bn for buildings and supporting infrastructure such as power, cooling, and connectivity.
In the transaction, Meta has transferred certain land and assets currently under construction that were previously classified as held-for-sale to the JV.
Blue Owl Capital provided around $7bn in cash as part of its contribution, and Meta secured a one-time distribution of $3bn from the joint entity.
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By GlobalDataUpon completion of the site, Meta will lease all facilities at the campus under operating lease agreements.
These leases have an initial four-year term with options to extend.
Meta chief financial officer Susan Li said: “Our AI ambitions will be realised through our ability to deliver the infrastructure to support it.
“Our partnership with Blue Owl Capital to develop the Hyperion Data Centre 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.”
Additionally, Meta has granted the JV a residual value guarantee covering the first 16 years of operation.
This would require Meta to make a capped payment based on the campus’s then-current value if specific conditions are met following a lease non-renewal or termination.
A portion of Blue Owl’s investment will be financed through debt issuance to investment management firm PIMCO and certain other bond investors via a private securities offering.
Blue Owl Capital co-CEOs Doug Ostrover and Marc Lipschultz said: “We’re proud that our funds are partnering with Meta on the development of the Hyperion data centre campus — an ambitious project that reflects the scale and speed required to power the next generation of AI infrastructure.”
Morgan Stanley acted as exclusive financial adviser to Meta for the transaction and served as sole bookrunner for the private offering.
Legal counsel for Meta was provided by Latham & Watkins, with Eversheds Sutherland advising on leasing matters.
Arthur D. Little supported commercial due diligence, Marsh delivered risk analysis and insurance services, and Arup provided technical and environmental engineering advice.
Kirkland & Ellis served as legal counsel to Blue Owl Capital funds, while Milbank advised Morgan Stanley on securities matters.
In July 2025, Meta invested around €3bn ($3.5bn) for a minority stake in eyewear maker EssilorLuxottica, highlighting its growing focus on the smart glasses market, according to a report by Bloomberg.
