Dallas-based DataBank, leading provider of enterprise-class data center, colocation, and managed cloud services, has secured a $2 billion loan for construction of the first three of eight planned data centers at its new campus in Red Oak, a suburb south of Dallas.

DataBank—which owns over 70 high-density-computing-ready data centers in over 25 markets—said the new financing is its largest to date, and will fund the build-out of the first three data centers on its Road Oak campus. The three facilities (DFW9, DFW10 and DFW11) have already been leased, the company said. Once complete, they will total 600,000 square feet and 180MW of power.

According to a Business Insider report, Austin-based Oracle will be the tenant for all three data centers, as well as the fourth one planned at the campus. The report cited a list of data center projects that qualify for state tax exemptions published by the Texas state comptroller’s office.

Rendering of DataBank’s DFW9 data center in Red Oak [Image: DataBank]

Speeding timelines by 18 months

Kevin Ooley, DataBank’s president and CFO, said the financing, combined with existing power commitments, “accelerates DataBank’s construction and delivery timelines for this campus by approximately 18 months.”

“It ensures our customer will be able to bring critical capacity to market on time and further solidifies Dallas as a core metro for Internet and A.I. infrastructure,” Ooley added in a statement.

Tokyo-based MUFG Bank, Ltd. was the administrative agent, coordinating lead arranger, and sole bookrunner on the $2 billion loan, DataBank said, adding that “a strong group” of leading digital infrastructure banks and institutional lenders supported the transaction as well. Davis Polk was DataBank’s legal advisor for the transaction. 

Nearly $5 billion in financing in past year

This $2 billion loan follows two other recent financing announcements by DataBank, including a $1.6B credit facility expansion and extension and a $1.1B hyperscale securitization. All tallied, it brings the company’s total financing in the past year to $4.7 billion.

DataBank said the newly announced loan fits within its “green financing framework,” which mandates the facilities meet specific Power Usage Effectiveness metrics and criteria for water conservation and carbon emissions reduction, all of which contribute to the company’s goal of being carbon neutral by 2030.

Earlier this month, DataBank announced the formation of a joint venture with Sydney, Australia-based Goodman Group to enable the launch of a new 32MW data center in metro Los Angeles.

Last June, DataBank announced that 1,000 full-time employees had been made “part owners” of the company via a new broad-based employee ownership program.

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