Digital Realty Trust completed the final close of its inaugural U.S. Hyperscale Data Center Fund, raising $3.25 billion in equity commitments from a broad mix of institutional investors, including public pensions, sovereign wealth funds, endowments, corporate pensions, insurance and asset managers, and family offices.
The fund will acquire and develop hyperscale data centers in Tier I U.S. metros such as Northern Virginia, Santa Clara, Dallas, Atlanta, Charlotte and New York. Digital Realty will retain a 20 % ownership stake and will act as the fund’s manager, overseeing operations, leasing, asset management, development and financing.
The financing expands Digital Realty’s strategic private‑capital platform, allowing the company to meet growing hyperscale demand without overtaxing its balance sheet. As of March 27, 2026, the company’s Net Debt/EBITDA ratio stood at 4.5x, below its 10‑year average of 5.5x and comfortably above the 4.0x threshold that signals a conservative investment‑grade profile. The fund supports the broader PlatformDIGITAL strategy, positioning Digital Realty to capture additional AI and cloud workloads in key U.S. markets.
Greg Wright, Digital Realty’s Chief Investment Officer, said, “We are pleased to announce the final close of our inaugural U.S. hyperscale data center fund, alongside the addition of two highly experienced senior executives to our Strategic Private Capital team. We remain focused on sourcing and delivering hyperscale data center capacity to support our customers' accelerating requirements, and private capital is playing an increasingly important role in how we prudently and efficiently scale PlatformDIGITAL.” Matt Mercier, Chief Financial Officer, added, “Demand for hyperscale data center capacity remains exceptionally strong, driven by secular tailwinds in digital transformation, cloud, and AI.” Andy Power, President and CEO, noted, “By partnering with Blackstone, the world's largest alternative asset manager, Digital Realty is better able to deliver capacity to meet the burgeoning demand of our hyperscale customers, by accessing a deep pool of likeminded private capital.”
Analysts have expressed positive sentiment toward the move, citing the continued AI infrastructure tailwinds and the company’s strong demand for data center capacity. The announcement reinforces Digital Realty’s ability to leverage private capital to accelerate growth while maintaining a disciplined balance sheet.
The fund’s closing signals that Digital Realty is well positioned to scale its hyperscale footprint in the most attractive U.S. markets, ensuring it can meet the accelerating demand for AI and cloud workloads. By retaining a 20 % stake and managing the fund, the company preserves operational control and earns management fees, while the private‑capital structure limits direct capital outlay and preserves leverage flexibility.
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.