Norwegian firm ASP Data Center has acquired a former factory and cryptomine, and plans to turn it into an AI data center.

The company recently announced the acquisition of a former factory used by local clothing firm Dale of Norway.

“We are excited to share that ASP Data Center has officially acquired the former factory site in Dale, once home to Dale of Norway — the community’s cornerstone business for generations,” the company said on LinkedIn. “Our ambition is to reestablish the site as a cornerstone enterprise for the municipality of Dalekvam, creating new opportunities and long-term value for the region.”

The first phase of development will see the company relaunch the site as a 20MW data center. The project will see around NOK1.5-2 billion ($151-201 million) invested.

ASP stated that ongoing work on a new transformer in Dale and the 420 kV power line running through the valley opens up the “potential for 300–1,000MW of future capacity.”

Dale (or Dalekvam) is the administrative center of Vaksdal municipality, in Vestland county, Norway, some 31 miles north-east of Bergen. Dale, the clothing company, was founded back in 1872 and acquired by France’s Rossignol Group in 2018.

Dale, the company has had a textile mill in Dale since 1879 and is still present in the area, operating on a different part of the site. According to local press, the acquired factory totals 48,500 sqm (52,2050 sq ft), and the site could reach 90MW in the short term.

Now-defunct cryptomining firm Kryptovault previously operated out of part of the Dale Fabrikker site until around 2022. The site was faced with bomb threats and issues with local authorities over noise. Kryptovault left the site due to rising energy prices.

ASP Datacenter was established in 2022 by ASP Eiendom AS, a property enterprise in Norway operating since 2008.

Last year, the company acquired a 1,500 sqm (16,145 sq ft) data center, though few details were shared. Earlier this year, the firm secured NOK 615 million ($61.8m) via a bond issuance. The company has previously said it has 18.5MW of capacity.

CBRE served as the exclusive financial advisor to the seller in the deal. Propcap facilitated the transaction on behalf of Asp Data Center..