Spanish energy firm Solaria Energía has signed its second agreement with local real estate firm Merlin Properties to supply a data center in the Community of Madrid, with access and connection to 213MW of electrical power.

The contract includes a 40-year PPA for 426MW of photovoltaic generation—double the capacity demanded—and an additional 10-year PPA for 600MWh of battery energy storage (BESS), creating the first solar+BESS hybrid scheme in Spain.

This structure provides firmness, flexibility, and price stability for the intensive consumption of the data center, which is key in a context of network saturation and the rise of AI. It represents Solaria’s strategic roadmap as an integrated platform for renewables, storage, and networks for digital infrastructures, with long-term contracts that provide visibility for recurring revenues and stabilize cash flows.

The two companies signed an initial PPA for 200MW in November.

Solaria was founded in 2002 and operates dozens of solar installations across Spain, Portugal, Italy, Greece, and Uruguay. In total, the company has around 1.6GW of installed solar capacity and more than 1.4GW under construction. It is also developing wind and battery energy storage projects, with a goal of reaching 14GW by 2028 and 18GW by 2030.

Solaria is also developing its own data center platform, claiming 3.4GW of secured grid power across 400 hectares (990 acres) spanning Spain, Italy, Germany, and the UK.

Merlin, a major real estate firm, first announced plans to move into the data center space in 2021 in partnership with Edged, the then-new data center venture from Aligned founder Jakob Carnemark. Merlin has since raised more than $1 billion for further data center development.

This piece was automatically translated from DCD’s Spanish site and edited by a member of DCD staff.