Blackstone's QTS Raises $1.65 Billion for US Data Center Projects
ByAinvest
Wednesday, Aug 13, 2025 11:14 am ET1min read
BX--
The debt sale underscores the attractiveness of the data center market for credit investors. The AI infrastructure boom is expected to continue through 2028, with capital expenditure reaching $3 trillion [2]. Companies like Microsoft, Alphabet, and Amazon are leading the charge, while private-equity firms are also actively investing in this sector. For instance, Microsoft's Q3 AI spending was $30 billion, a 60% increase from analyst expectations [2].
The buildout of data center infrastructure is critical for supporting the growth of AI and cloud services. According to JPMorgan Chase & Co. analysts, about $150 billion of permanent financing will be needed for the construction of data centers in the US in 2026 and 2027 [1]. This significant investment highlights the importance of data centers in the AI ecosystem.
Blackstone's acquisition of QTS Realty Trust in 2021 for about $10 billion, including debt, further underscores the company's commitment to the data center market. The acquisition positions Blackstone as a key player in this high-growth sector, with a strong focus on AI and cloud infrastructure.
In conclusion, Blackstone's QTS Realty Trust's $1.65 billion debt raise signals a strong commitment to the US data center market. As the AI infrastructure boom continues, investors and companies alike should closely monitor the developments in this dynamic sector to capitalize on the opportunities and manage the associated risks.
References:
[1] https://www.bloomberg.com/news/articles/2025-08-13/blackstone-s-qts-raises-1-65-billion-of-debt-for-data-centers
[2] https://www.ainvest.com/news/ai-hyperscalers-spending-boom-bust-2508/
Blackstone's QTS has raised $1.65 billion in debt through a privately placed sale of high-grade bonds with maturities of 5, 7, and 10 years. The debt will finance data center projects in the US, as the infrastructure boom for artificial intelligence is seen as an attractive opportunity for credit investors. About $150 billion in permanent financing is expected for US data center construction in 2026 and 2027.
Blackstone Inc.’s QTS Realty Trust has raised $1.65 billion through a privately placed sale of high-grade bonds with maturities of five, seven, and 10 years. This debt financing will support the development of data center projects in the United States, reflecting the growing demand for infrastructure to support the artificial intelligence (AI) boom [1].The debt sale underscores the attractiveness of the data center market for credit investors. The AI infrastructure boom is expected to continue through 2028, with capital expenditure reaching $3 trillion [2]. Companies like Microsoft, Alphabet, and Amazon are leading the charge, while private-equity firms are also actively investing in this sector. For instance, Microsoft's Q3 AI spending was $30 billion, a 60% increase from analyst expectations [2].
The buildout of data center infrastructure is critical for supporting the growth of AI and cloud services. According to JPMorgan Chase & Co. analysts, about $150 billion of permanent financing will be needed for the construction of data centers in the US in 2026 and 2027 [1]. This significant investment highlights the importance of data centers in the AI ecosystem.
Blackstone's acquisition of QTS Realty Trust in 2021 for about $10 billion, including debt, further underscores the company's commitment to the data center market. The acquisition positions Blackstone as a key player in this high-growth sector, with a strong focus on AI and cloud infrastructure.
In conclusion, Blackstone's QTS Realty Trust's $1.65 billion debt raise signals a strong commitment to the US data center market. As the AI infrastructure boom continues, investors and companies alike should closely monitor the developments in this dynamic sector to capitalize on the opportunities and manage the associated risks.
References:
[1] https://www.bloomberg.com/news/articles/2025-08-13/blackstone-s-qts-raises-1-65-billion-of-debt-for-data-centers
[2] https://www.ainvest.com/news/ai-hyperscalers-spending-boom-bust-2508/
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