Blackstone Lends $925M for Data Center Expansion
Colovore will use the funds for the development of liquid-cooled data centers across major U.S. markets.
King Street’s Colovore has obtained $925 million in debt financing from Blackstone. The funds will be used for the development of new liquid-cooled data centers across major markets, starting with Reno, Nev., Chicago and Austin, Texas.
The operator of ultra-dense, liquid-cooled data centers built for AI infrastructure has more than a decade of experience in supporting next-generation chips. Designed with purpose-built infrastructure for high-performance computing workloads and machine learning, Colovore’s facilities feature power densities ranging from 17 kilowatts to more than 200 kilowatts per cabinet.
Colovore’s data centers also have smaller footprints and improved efficiency, allowing for the support of both traditional enterprise hardware and advanced AI accelerators. The company is the world’s first NVIDIA DGX-certified data center provider.
READ ALSO: This Market Tops the Nation for Data Center Absorption
King Street Capital Management acquired a majority ownership stake in Colovore last year in May, allowing further support and expansion of the data center provider while also growing its data center investment platform.
Founded in 2012, Colovore developed its first all-liquid-cooled facility in Santa Clara, Calif. Since partnering with King Street, the company launched its second Silicon Valley data center and started construction on two other ones, in Reno, Nev., and Chicago.
The developments are expected to come online in 2026 and 2027, respectively. Upon delivery, each 20 megawatt facility will include spacious racks, heavy-floor loading capacity and high-speed direct access to Tier 1 carriers.
Blackstone’s data center investments
Blackstone has been a constant investor in the data center industry in recent years.
In late 2023, the company formed a joint venture with Digital Realty for the development of four data centers in Northern Virginia, Paris and Frankfurt. At the time, the partnership estimated a $7 billion investment over several years.
Last year in March, Blackstone Credit & Insurance, provided a $600 million credit facility to Aligned Data Centers. The initial funds were used for a data center project near Salt Lake City.
You must be logged in to post a comment.