QTS to Secure $510M ABS Refi for Data Center Trio

March 10, 2026

Data Centers Finance Mid-Atlantic News More Phoenix Richmond West

The facilities are part of the firm's campuses in Phoenix and Richmond, Va.

Rendering of QTS PHX3, a data center project in Glendale, Ariz. — Rendering of PHX3, a 750-megawatt data center campus currently underway in metro Phoenix, part of the company’s expansion strategy. *Image courtesy of QTS Realty Trust*

Blackstone’s QTS Data Centers is aiming to secure a $510 million financing package, backed by three data centers in Phoenix and Richmond, Va., according to an S&P Global presale report. The expected closing date is March 20, 2026.

KeyBank National Association is acting as servicer, Wilmington Trust is the indenture trustee, while TD Securities is the loan arranger.

The ABS package consists of three series of loans across three classes, which include a $12.9 million note, three other notes totaling $430 million combined and two notes totaling $80 million. The loans will have a 5- to 10-year anticipated repayment date while all notes will mature in 30 years, according to the report.

QTS will use the proceeds to pay prior debt backed by the same assets and to fund future projects.

The Phoenix data centers are PHX2DC2 and PHX2DC3, part of a five-building campus known as Phoenix 2. Completed in 2024, according to Yardi Matrix data, the facilities have 36 and 45 megawatts of leased capacity, respectively.

The Phoenix campus is set to scale up to 210 megawatts and occupies 80 acres near Phoenix Sky Harbor International Airport. QTS Data Centers broke ground on the fifth building of the complex in 2023.

The third property backing the financing package is RIC2DC3, a data center with 36 megawatts of leased capacity. The building is part of QTS’ second campus in the Richmond metro, also undergoing an expansion. When completed, it will include five facilities across an 85-acre lot in Sandston, Va., and have a capacity of 180 megawatts.

Two hyperscale tenants lease the data center trio.

Future plans in Phoenix and Richmond

In September last year, QTS intended to secure $600 million backed by the same PHX2DC2 facility. A year prior, the company announced the development of a third campus in Phoenix. The 3 million-square-foot complex in Glendale, Ariz., is set to include 16 buildings across 375 acres. A fourth campus is also in the cards, according to the company’s website.

QTS is also expanding in Richmond. Its third campus, set to encompass more than 220 acres, will include a total capacity of 240 megawatts. When completed, this project is expected to be one of the largest digital infrastructure investments in the Richmond area.

Strategic moves in key markets

One of the top data center developers in the country, QTS’ footprint spans 15 states and its largest operating areas are Atlanta, Dallas, New Albany, Ohio, Hillsboro, Ore., New Jersey, Northern Virginia and Phoenix.

Earlier this year, the Blackstone-owned company started procedures for obtaining a $2.1 billion CMBS loan, backed by three data center campuses. The note will refinance properties located in the Northern Virginia, Chicago and Atlanta markets.

In November 2025, QTS also entered into a $3.5 billion CMBS agreement. The note was meant to refinance 10 data centers totaling 213.9 megawatts across six markets and represented, at the time, one of the largest CMBS deals of 2025.