Related, Blackstone Obtain $16B for Michigan Oracle Project
This marks the biggest investment in the state’s history.
Related Digital and Blackstone have secured $16 billion in funding for a data center project with an estimated capacity of more than 1 gigawatt in Saline Township, Mich., marking the largest investment in the state’s history.
The financing package includes equity from Related Digital and funds affiliated with Blackstone, as well as long-term, fixed-rate debt issued by funds and accounts managed by PIMCO. Bank of America served as the structuring agent and financial advisor. Goldman Sachs and Wells Fargo provided advisory for Related Digital.
Construction is already underway on the build-to-suit development for Oracle, part of the Stargate Project, meant to capitalize on AI data center demand. Upon completion, the campus’ three single-story data center buildings will attain LEED certification.
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DTE Energy will fully power the project using existing resources and a new battery storage investment funded entirely by Oracle. The system employs a closed-loop architecture that is set to protect Michigan’s water.
Dubbed The Barn after a historic preserved property at the site, the project takes shape along Michigan Avenue, also known as U.S. Route 12. Downtown Detroit is roughly 50 miles northeast.
Blackstone, Blue Owl Capital trade places
The prospect of this financing deal closing first emerged earlier this month, as reported by Reuters. Notably, Blackstone’s commitment was said to be just $2 billion, less than initially anticipated, according to Bloomberg.
In fact, the financial environment of the development has shifted significantly as of late. In December, the Saline Township project was described as a $10 billion endeavor. That same month, Blue Owl Capital, Oracle’s largest data center partner, backed out of the deal.
That’s when Blackstone stepped in, taking Blue Owl’s spot at the financing table. The private equity giant is no stranger to backing digital infrastructure, having deployed $7 billion across data center investments in the first quarter of 2026 alone, according to Blackstone’s latest quarterly report.
Blue Owl’s commitments to Oracle and the Stargate Project
While Blue Owl ended up sitting this one out, the company does have other ongoing deals with Oracle. Last year, Blue Owl provided equity for an $18 billion data center development in Doña Ana County, New Mexico, also part of the Stargate Project.
Blue Owl also backed a 1.2-gigawatt data center campus for Oracle in Abilene, Texas, the first Stargate Project to break ground. In May 2025, the second-phase funding closed for the $15 billion project.
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