Year 1 baseline.
Year 10 trajectory.
Here is the full revenue model. Year 1 rough ranges, Year 2+ trajectory, the variables that move the number, and the alternatives this beats. Final economics for your specific property are modeled during the site survey and stated in your Letter of Intent.
Indicative ranges for a typical mid-size property.
Below is the indicative trajectory. The starting point is Doug Brough's confirmed answer to property owners: $0 upfront, $15K to $20K+ in Year 1, growing substantially thereafter. Year-on-year growth comes from usage filling out and tenant terms grow over timeing.
Why the year-on-year numbers grow.
A hub does not earn the same revenue every year. Three dynamics push Year 2+ substantially higher than Year 1.
Utilization fills out
A hub at install runs partial utilization. Tenants ramp from initial allocation to steady-state usage over months. Year 1 is partial; Year 2 onward is closer to steady state and your share of revenue grows accordingly.
Tenant terms grow over time
Reserved compute is sold on multi-year contracts. As tenants renew or expand, their long-term commitments grow over time. New tenant contracts onto an existing hub are pure upside on top of existing baseline.
Hub capacity can expand
If demand at your hub exceeds the original GPU count, additional capacity can be added to the same site under the existing contract. More capacity, more revenue, same property contract.
All trajectory descriptions above are model behavior, not guarantees. Actual ramp depends on tenant offtake, tenant retention, and market conditions outside any single property's control. Final economics for your property are modeled during the site survey.
The five variables that shape your Year 1 check.
Two properties of the same size do not always earn the same revenue. Here are the variables that change the math, plus what is fixed regardless of property.
Hub size at your site
Bigger hubs run more GPUs and earn more gross revenue. Hub size depends on available space, electrical service, and water. A property with one rack of capacity earns differently from a property that supports multiple racks. The site survey sizes the hub to your building.
Tenant mix at your hub
Tenants on hubs come in different workload typees (LLM inference, healthcare AI, real-time vision, regulated). Different workloads pay different rates. A property hosting a healthcare AI tenant earns differently than one hosting an LLM inference tenant. Tenant mix is set by ARO based on demand at the time.
Time of activation
Hubs that activate earlier in the contract clock earn longer. Hubs activated mid-Q1 versus mid-Q4 produce different first-year totals because of how much of Year 1 actually overlaps with operating capacity. The contract clock starts at activation, not Letter of Intent signing.
Capital structure
The default model is ARO finances 100% of the equipment, with 25 to 30 percent revenue share to the property. Properties that elect to participate in capital structure may negotiate higher revenue share percentages. Most owners pick the zero-capital path. Either is available.
Geography & latency
Properties in or near major metro areas attract higher-value tenant demand than rural sites. Rural properties typically do not qualify for the program. Within metros, anchor sites near population centers have stronger tenant pipelines than peripheral sites.
What is fixed
Zero capital from you from your property. ARO ownership and insurance of the hardware. ARO operations 24/7. 10-year contract length. Equipment removal at end of term. Right to terminate early under defined conditions. None of these vary by site.
What this beats, and where it does not apply.
Property owners often have other options for that BOH room. Here is how the ARO program stacks up against the realistic alternatives.
Vs. doing nothing
Empty room is a sunk cost
An unused room earns zero. It still requires power, climate control, and floor in the rent roll. The ARO program turns that sunk cost into a multi-year revenue stream that grows over time. The downside is bounded by the contract terms.
Best fit: properties with under-utilized basement, BOH, or mechanical space.
Vs. leasing the space
Self-storage and vendor stipends
A small back-of-house room might lease for $200 to $800 per month to a self-storage tenant or vendor. The ARO program typically delivers a multiple of that, with no tenant management, no broker fees, and a contract that improves over time rather than simply renewing flat.
Best fit: any property already weighing whether to lease the space.
Vs. running it yourself
You are not in the data center business
Some property owners hear about edge data centers and wonder whether to build one themselves. The capital requirement is in the millions per site, the operating expertise is specialized, and the tenant pipeline is everything. ARO solves all three so your property does not have to.
Best fit: if you ever considered this, the answer is partner with someone who does it for a living.
Owners with portfolios of 5+ properties.
Hospitality groups, apartment building operators, and senior living groups with multiple properties under common ownership often want a single contract structure that covers a portfolio rather than 10+ individual property contracts. Here is what is available.
Master agreement
One master partnership agreement at the parent / ownership-group level. Each property qualifies under that master with its own site-specific schedule. Reduces legal review time substantially after the first one is signed.
Portfolio-level revenue share
Larger portfolios qualify for revenue share at the higher end of the 25 to 30 percent range, and in some cases custom arrangements above that range. Volume earns better terms.
Coordinated rollout
ARO sequences hub installs across your portfolio in line with your operations calendar and your portfolio's geography. Anchor sites get prioritized; smaller properties roll into the program in waves.
Single point of contact
One ARO account lead handles every site in your portfolio. Monthly statements consolidate at the parent level. One easy to audit accounting trail across the whole portfolio rather than scattered across 10+ statements.
Generic numbers only get you so far.
Indicative figures are a starting point. The actual economics for your property depend on the site survey: your room size, your electrical service, your fiber path, your geography, your tenant fit. A 30-minute walk-through gives us enough to come back with site-specific numbers within two business days.
- 30-minute surveyOn your schedule, no commitment.
- Sized economics in 2 daysReal numbers for your specific property.
- Letter of Intent in 10 daysFull term sheet for your legal counsel.