California-based Cowboy Space is leasing a 291,035-square-foot industrial facility in Kent, Wash., to support the production of hardware for its planned constellation of AI data center satellites, according to the company that arranged the lease.

“According to Newmark Research, the transaction is the largest industrial lease in the Puget Sound region year-to-date,” Newmark, the real estate broker for the deal, said in a news release. Newmark represented CenterPoint Properties, Cowboy’s new landlord.

The facility at 7650 S. 228th St. previously served as a Costco distribution and delivery center. “This building was originally designed for large-scale logistics users, but Cowboy Space recognized the opportunity to reimagine it as a highly specialized production facility,” said Taylor Hoff, a vice chairman at Newmark’s office in Bellevue, Wash.

Newmark said Cowboy Space plans to convert the facility into a manufacturing operation supporting space and rocket development. The operation is expected to add 300 jobs, Newmark said. Cowboy is currently listing 46 Kent-based positions in its careers database.

The city of Kent, which is about 20 miles south of Seattle, is one of the hotspots for space companies in the Pacific Northwest. Boeing’s Kent Space Center remains active more than 50 years after building NASA’s Apollo moon rovers. The city also hosts Jeff Bezos’ Blue Origin space venture and Stoke Space, which was founded by Blue Origin alumni.

Cowboy Space, previously known as Aetherflux, plans to send its own rockets into low Earth orbit starting as early as 2028, with the upper stages outfitted to serve as solar-powered orbital data centers. The Stampede constellation is one of several planned projects aimed at getting around the land, power and water constraints that have made ground-based AI data centers increasingly controversial.

“We are building what I call the last big clean-sheet launch vehicle in my lifetime, so it’s going to be a very big heavy-lift vehicle, and we’re working every day to bring it to reality,” Warren Lamont, Cowboy Space’s head of launch and propulsion, said this week in a LinkedIn video. Lamont, who previously worked for IonQ and Blue Origin, is one of the executives heading up Cowboy Space’s engineering hub in the Seattle area.

The company announced in May that it raised $275 million in a Series B funding round, in part to expand its production capability. Cowboy is collaborating with Nvidia to deploy the chip giant’s Nvidia Space-1 Vera Rubin Modules in orbit. And in July, it secured a deal to test its propulsion system at NASA’s Stennis Space Center in Mississippi.

“We’re really excited to get into first engine hot-fire next year,” Lamont said.

Cowboy Space’s potential competitors include SpaceX, which wants to launch up to a million AI-processing satellites; and Redmond, Wash.-based Starcloud, which is setting up a production facility in Woodinville, Wash., and seeking authorization for up to 88,000 data center satellites.

Update for 3:30 p.m. PT Sept. 13: Cowboy Space confirmed the opening of its Kent facility in a post to LinkedIn. “Kent will be our launch vehicle and satellite design hub, and we will be building our rocket engines and solar systems here too,” the company said: