DataBank Plans to Raise $665M Through Securitization of $4.2B Colocation Data Center Portfolio
Data center firm DataBank aims to raise $665 million by securitizing a $4.2 billion portfolio of multitenant retail colocation data centers. The portfolio, covering 36 facilities across 14 U.S. markets, spans over 1.6 million square feet and provides 258 megawatts of capacity, leased to more than 1,750 tenants.
Unlike typical transactions that focus on single-tenant hyperscale assets, this offering is notable for its backing of numerous multitenant facilities. Moody's Ratings has described the data centers as high-quality, strategically located to support real-time applications and AI inferencing.
DataBank's previous ABS transaction in September raised $1.067 billion from three fully leased data centers. The trend of data center-backed asset-backed securities (ABS) has accelerated, with issuance volumes doubling annually since 2020, and predictions suggest structured debt tied to data centers could reach $50 billion in 2026.
