Take-or-pay lease structure
Company: Applied Digital
The claim, verbatim
Applied Digital has structured its lease agreements as take-or-pay contracts, requiring tenants to pay base rents regardless of whether they fully utilize reserved computing capacity
Source (primary)
Is Applied Digital Stock a Buy? - Yahoo Finance (-, news_article)
View cached copy (2026-09-21)Live source ↗
Quote: “Applied Digital has structured the contracts as take-or-pay lease agreements. This requires tenants to pay the contractually specified base rents regardless of whether they fully utilize the computing capacity they have reserved”
How we checked this
Checked on September 26, 2026. The cited source supports every part of this claim.
The article states the contracts are take-or-pay lease agreements requiring tenants to pay base rents even if they do not fully use their reserved capacity.
Confirmed in the source:
- Applied Digital structured its lease agreements as take-or-pay contracts
- Tenants must pay base rents regardless of whether they fully utilize reserved computing capacity
What we did: Read our cached copy of the publisher (https://finance.yahoo.com/markets/stocks/articles/applied-digital-stock-buy-141400078.html) in full (11,265 characters, retrieved September 21, 2026) and checked each assertion in the claim against it.
Additional evidence
confirms Is Applied Digital Stock a Buy? - Yahoo Finance
Quote: “Applied Digital has structured the contracts as take-or-pay lease agreements. This requires tenants to pay the contractually specified base rents regardless of whether they fully utilize the computing capacity they have reserved”