Blackstone (NYSE: BX) announced that it has secured $16 billion in financing for Related Digital’s purpose‑built data‑center campus in Saline Township, Michigan, a facility designed for Oracle and its partner OpenAI.
The financing package combines equity from Related Digital and Blackstone‑affiliated funds with fixed‑rate, long‑term debt anchored by PIMCO‑managed funds. Bank of America served as the structuring agent, while Goldman Sachs and Wells Fargo advised on the transaction. PIMCO has anchored the debt financing, with reported contributions ranging from $10 billion to $14 billion, and Blackstone’s equity contribution is around $2 billion.
The project will create more than 2,500 union construction jobs, 450 onsite jobs, and 1,500 county‑wide jobs, while generating significant tax revenues and community investment. The campus will feature a closed‑loop cooling system, be LEED certified, and receive 100 % of its power from DTE Energy, supplemented by a battery‑storage system financed by Oracle.
The financing underscores the rapid expansion of AI infrastructure in the United States. With a capacity exceeding 1 GW, the campus will support Oracle’s and OpenAI’s compute needs and reinforce Michigan’s position as a key hub for AI data centers. The deal highlights Blackstone’s continued focus on AI infrastructure and the confidence of institutional investors such as PIMCO in the sector’s long‑term prospects.
Potential risks include strain on the local power grid, lender caution due to Oracle’s financial profile, and ongoing local opposition and environmental concerns. Nonetheless, the project’s scale and sustainability features position it as a flagship investment in the AI infrastructure boom.
"The strength of this financing is a powerful validation of what we have built at Related Digital and of the critical role this project will play in America’s digital future. We are grateful for the confidence of Blackstone, PIMCO, and our world class banking partners, institutions who understand the scale, complexity, and long‑term value of what we are delivering for our partners at Oracle and OpenAI.", – Jeff T. Blau, CEO of Related Companies and Chairman of Related Digital
"The rapid progress at our Saline Township data center underscores the urgency and scale of building America’s next‑generation AI infrastructure. Together with our partners, we are not just building a data center—we are creating high‑quality jobs, investing in the communities in which we operate, and driving long‑term economic growth. This project reflects our deep commitment to Michigan and to powering the future of AI in the United States.", – Mahesh Thiagarajan, Executive Vice President, Oracle Cloud Infrastructure
"This investment is another way we are capitalizing on this generational opportunity and helping provide much needed compute capacity. We’re excited to back the largest ever investment in the state of Michigan and we look forward to supporting Related Digital as it delivers this critical AI infrastructure. Strong investor demand for high‑quality digital infrastructure continues to drive significant capital formation, particularly for projects of this scale and complexity.", – Jim DeMare, Co‑President, Bank of America
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.