Compass Datacenters Lands $326M for DFW Campus
The owner seeks to expand the fully occupied campus to 10 facilities.
Compass Datacenters has secured a $326 million refinancing agreement backed by five hyperscale data centers in Red Oak, Texas, according to a Morningstar DBRS report.
Wilmington Trust will provide the financing while KeyBank is the servicer. The fixed-rate agreement has a maturity date set for 2050.
Compass Datacenters owns and operates the five data centers. In September last year, the company unveiled plans to add up to three more facilities with a combined construction cost of $300 million, Dallas Business Journal reported. Upon full build-out, the campus is expected to have a total of 10 buildings across 300 acres, with 360 megawatts of capacity.
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The five existing facilities came online between 2024 and 2025 and are fully occupied by a single tenant. Boasting a total power capacity of 180 megawatts, the properties feature N+1 redundancy and air-cooling systems. Oncor provides electricity via two on-campus substations.
One of the first data center properties built by Compass Datacenters in the Metroplex is the two-building asset at 820 Allen Commerce Parkway in Allen, Texas. Completed in two phases between 2016 and 2017, the property is leased to TierPoint and ScaleMatrix, according to Yardi Matrix.
Compass Datacenters owns a manufacturing facility for modular data center equipment—adjacent to its refinanced campus—as a result of its $3 billion partnership with Schneider Electric. Opened in June last year, the facility will be used for prefabricated modular infrastructure for Schneider Electric’s U.S. customers, while also supporting production for the ongoing demand for new data centers in the country.
In 2019, Compass Datacenters unveiled a $3 billion investment plan, aiming to expand in multiple states, backed by a mix of current and new capital commitments.
Data centers, a powerhouse for investment
After the $500 billion Stargate Initiative unveiled by the White House in January, investment in the data center sector already registered some big moves, as demand continues to outpace supply amid AI expansion.
Meta’s $29 billion partnership with Pacific Investment Management and Blue Owl is a recent example. The venture entails providing debt and equity for Meta’s Louisiana expansion, a project underway some 250 miles north of New Orleans. Initially planned as a 4 million-square-foot campus, it could become the largest data center campus in the Western Hemisphere.
KKR also formed a joint venture with Energy Capital Partners for the development of a $4 billion hyperscale campus in Texas. The 190-megawatt project is the first of a $50 billion partnership between the two companies.
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