BlackRock invests $678m in Gravity Edge, a data centre venture with Digital Gravity Partners

Financing the future of hyperscale. AI and cloud are driving demand for larger, denser facilities than ever before. Meeting that demand takes more than construction. It takes capital structures that can scale with the technology. That is why today’s announcement marks a milestone for both the industry and our journey forward. We have issued $1.1 billion in a new ABS trust, our first backed exclusively by hyperscale assets. Here is what makes this financing historic: • The first ever data center ABS to be dual-rated by both S&P Global and Moody’s • The first securitization for data centers rated by Moody’s, passing their new methodology • Our second green bond financing, supporting sustainable growth • Heavily oversubscribed, with 38 unique investors signaling confidence in our strategy • Proceeds refinancing facilities in Atlanta, Ashburn, and New York while funding the next wave of capacity across our U.S. platform Special thanks to our partners Deutsche Bank, Guggenheim Partners, and TD Securities for their role in structuring and managing this transaction. This builds on a series of financings that have brought $3.23 billion of investment-grade bonds into our portfolio since 2021. It reflects strong investor trust in our ability to serve both enterprise and hyperscale customers through flexible, sustainable infrastructure. The result is simple: more capacity, more resilience, and more room for the workloads that will define the next decade. Read the full announcement here 👉 https://lnkd.in/gmkiQuKh  #datacenters #digitalinfrastructure #ai #cloud #futureoftech #finance #hyperscale #infrastructure #databank

Financing the future of hyperscale. AI and cloud are driving demand for larger, denser facilities than ever before. Meeting that demand takes more than construction. It takes capital structures that can scale with the technology. That is why today’s announcement marks a milestone for both the industry and our journey forward. We have issued $1.1 billion in a new ABS trust, our first backed exclusively by hyperscale assets. Here is what makes this financing historic: • The first ever data center ABS to be dual-rated by both S&P Global and Moody’s • The first securitization for data centers rated by Moody’s, passing their new methodology • Our second green bond financing, supporting sustainable growth • Heavily oversubscribed, with 38 unique investors signaling confidence in our strategy • Proceeds refinancing facilities in Atlanta, Ashburn, and New York while funding the next wave of capacity across our U.S. platform Special thanks to our partners Deutsche Bank, Guggenheim Partners, and TD Securities for their role in structuring and managing this transaction. This builds on a series of financings that have brought $3.23 billion of investment-grade bonds into our portfolio since 2021. It reflects strong investor trust in our ability to serve both enterprise and hyperscale customers through flexible, sustainable infrastructure. The result is simple: more capacity, more resilience, and more room for the workloads that will define the next decade. Read the full announcement here 👉 https://lnkd.in/eqCrvivx  #datacenters #digitalinfrastructure #ai #cloud #futureoftech #finance #hyperscale #infrastructure #databank

Financing the future of hyperscale. AI and cloud are driving demand for larger, denser facilities than ever before. Meeting that demand takes more than construction. It takes capital structures that can scale with the technology. That is why today’s announcement marks a milestone for both the industry and our journey forward. We have issued $1.1 billion in a new ABS trust, our first backed exclusively by hyperscale assets. Here is what makes this financing historic: • The first ever data center ABS to be dual-rated by both S&P Global and Moody’s • The first securitization for data centers rated by Moody’s, passing their new methodology • Our second green bond financing, supporting sustainable growth • Heavily oversubscribed, with 38 unique investors signaling confidence in our strategy • Proceeds refinancing facilities in Atlanta, Ashburn, and New York while funding the next wave of capacity across our U.S. platform Special thanks to our partners Deutsche Bank, Guggenheim Partners, and TD Securities for their role in structuring and managing this transaction. This builds on a series of financings that have brought $3.23 billion of investment-grade bonds into our portfolio since 2021. It reflects strong investor trust in our ability to serve both enterprise and hyperscale customers through flexible, sustainable infrastructure. The result is simple: more capacity, more resilience, and more room for the workloads that will define the next decade. Read the full announcement here 👉 https://lnkd.in/gpMJb_iY  #datacenters #digitalinfrastructure #ai #cloud #futureoftech #finance #hyperscale #infrastructure #databank

💡 BlackRock’s $40 Billion AI Bet The line between infrastructure and technology just blurred even further. BlackRock’s Global Infrastructure Partners (GIP) is leading a $40 billion acquisition of Aligned Data Centers — one of the largest private infrastructure transactions ever completed in the digital era. This isn’t a simple corporate buyout. It’s a multi-layered consortium deal that blends: ✅ Institutional capital – led by GIP and BlackRock Infrastructure with participation from sovereign funds. ✅ Strategic co-investors – including hyperscaler and semiconductor names looking to secure capacity for AI workloads. ✅ Hybrid financing – combining equity, preferred instruments, and project-level debt underwritten by major banks and private credit funds. At its core, this is an energy-and-capital allocation play: Aligned’s footprint exceeds 5 GW of power capacity across dozens of campuses — effectively a distributed “AI grid.” Each new facility is structured as a ring-fenced project entity with its own debt stack and power procurement strategy. Institutional investors get access to infrastructure-like cashflows with technology-driven upside. The takeaway: ➡️ Data centers are no longer “real estate.” They’re financial infrastructure assets, financed like toll roads, valued like utilities, and priced like tech. #Infrastructure #AI #ProjectFinance #BlackRock #DataCenters #DigitalInfrastructure

Axios quotes Renaissance Capital strategist: "Several IPOs this year have tapped into that massive demand for AI infrastructure. The capex spend is real. I think the question is, how much money can be made off of it." 𝘳𝘦𝘢𝘥 𝘰𝘯... https://lnkd.in/eGXdfzad

Some worry costs will always be too high for profits. In a blog post on his company’s website, Harris Kupperman, a self-described boomer investor and the founder of the hedge fund Praetorian Capital, laid out his bearish case on A.I. infrastructure. Because the building needs upkeep and the chips and other technology will continually evolve, he argued that data centers will depreciate faster than they can generate revenue. What Wall Street Sees in the Data Center Boom https://lnkd.in/ee97G-x3

Smart. "Larry Fink, chief executive of BlackRock, told the FT the data centre partnership planned to build and lease highly specialised data centres to large technology companies, instead of such customers building the properties themselves. These projects, ultimately financed by pensioners and sovereign wealth funds, will allow tech giants to keep data centres off their balance sheets, helping them command higher stock valuations."

Considering a new venture, the speaker discusses launching a data center opportunity zone fund. The initial goal is to raise $250,000,000 to establish a fund. The vision involves developing facilities ranging from 25 to 100 megawatts, targeting hyper-scale deployments. This strategic move aims to capitalize on opportunity zones for data center development. Such an initiative could significantly impact regional economies and technological infrastructure. It highlights the intersection of finance, technology, and real estate in emerging markets. #datacenters #opportunityzones #investment #realestate #technology #finance

💾💷 Betting big on data 🏢 BlackRock is investing £500 million into UK data centers to power the digital future 🔌 Will this investment put the UK at the forefront of Europe’s data race?👇 #BlackRock #UK #DataCenters #Investment #Business https://lnkd.in/gnfpTUsV

🧠 Hype vs. Reality in Data Centers by Serenity Alternative Investments “Man is the most intelligent of the animals – and the most silly.” – Diogenes 🚀 The AI Hype Train Is Real… But So Is the Silliness * A new “Data Center” company IPO hit a $20 billion valuation in its first week—without owning a single operating data center. * Fermi America plans to deliver 1.1 GW of capacity by end-2026—an ambitious goal compared to experienced players like Digital Realty and Equinix, who deliver at megawatt scale every 18 months. * Takeaway: Investors should separate hype from substance—some “AI infrastructure” companies are long on story, short on actual power. 🏢 Real REITs, Real Data Centers * Established REITs like Iron Mountain (IRM), Digital Realty (DLR), and Equinix (EQIX) already generate substantial cash flow from diversified, built portfolios. * Iron Mountain (IRM) returned +11.3% in September — a top performer in Serenity’s portfolio. * IRM’s Data Center arm is growing ~30% annually, with 450 MW in operation and another 200 MW under construction. 🏚️ Meanwhile in Seniors Housing… A Quiet Bull Market * While Data Centers get headlines, Seniors Housing REITs are quietly delivering some of the highest organic growth in the industry. * American Healthcare REIT (AHR) — Serenity’s pick since May 2024 — has soared +205% (124.8% annualized). * In Q2 2025, AHR posted +14.5% same-store NOI growth and +28.1% FFO growth, following +17.7% NOI growth in 2024. * Peers like Welltower™ Inc. (NYSE:WELL) have recorded 14 straight quarters of double-digit NOI growth. * Takeaway: This is one of the strongest, least recognized bull markets in commercial real estate. 💰 Interest Rates & Cost of Capital Matter * The 10-year Treasury yield dropped to 4.1%, and BAA yields to 5.8%, easing financing pressure for REITs. * Example: A $500M data center financed 50/50 with debt/equity sees margins triple when cost of capital falls from 10% → 6%. * Lesson: REITs with strong balance sheets and low-cost capital (like large public names) have a major competitive edge over private developers. 🧩 The Ministry of Silly Investments: Don’t chase hype — whether it’s “AI data center” IPOs or overvalued growth stories. ✅ Do focus on: * Proven operators with consistent NOI growth * Cash flow over speculation * Balance sheet strength in a higher-for-longer rate world https://lnkd.in/gAQ5jpxC