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Mar 8

ICE Detention Owner Pivots to AI Man Camp Riches

Developers are increasingly relying on temporary villages, often referred to as "man camps," to house the hundreds or thousands of temporary workers e

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Originally reported bytechcrunch

Developers are increasingly relying on temporary villages, often referred to as "man camps," to house the hundreds or thousands of temporary workers essential for constructing new AI data centers.

This style of temporary accommodation gained prominence by housing men working in remote oil fields. Now, it's being adapted for the burgeoning data center sector. For example, Bloomberg reports that as a Bitcoin mining facility in rural Dickens County, Texas, is transformed into a 1.6-gigawatt data center, its workers are housed in gray units offering a comprehensive array of amenities. These include access to a gym, a laundromat, various game rooms, and a cafeteria that provides on-demand grilled steaks.

Target Hospitality, a company specializing in remote workforce housing, has secured multiple contracts totaling $132 million. These agreements cover the construction and operation of the Dickens County camp, which is designed to eventually house more than 1,000 workers.

Target Hospitality evidently perceives the U.S. data center construction boom as its most lucrative avenue for expansion. Troy Schrenk, the company's chief commercial officer, emphasized this potential, describing it as “the largest, most actionable pipeline I’ve ever seen.”

It is also important to note that Target Hospitality owns and operates the Dilley Immigration Processing Center in Texas, a facility that holds families detained by Immigrations and Customs Enforcement. Court filings have brought forth allegations regarding conditions at this center, including claims of worms and mold in the food, and instances where children reportedly suffered due to a lack of accommodation for allergies and special diets.

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