Blackstone Inc. is expanding its bet on data centers through a new venture with Digital Realty Trust Inc.
The two companies will seek to develop four data-center campuses located in Frankfurt, Paris and Northern Virginia, with an estimated cost of about $7 billion spread over the next several years, according to a statement Thursday. Blackstone will have an 80% stake and contribute $700 million in capital initially, while Digital Realty will own 20% and manage development and day-to-day operations.
Blackstone has cited the “AI arms race” that’s fueling demand for data centers. The properties generally house servers and routers to support technology such as cloud services and often require vast amounts of power to run.
“Data centers are experiencing once-in-a-generation demand growth, driven by cloud adoption and the AI revolution,” Blackstone president Jon Gray said in the statement.
The alternative asset manager struck a deal in 2021 to buy data-center owner QTS Realty Trust for about $10 billion including debt. In a letter in late October, Blackstone Real Estate Income Trust, an investment vehicle for wealthy individuals, said that 8% of its portfolio had exposure to data centers and the properties were the biggest contributor to returns this year.
The Digital Realty partnership will close in two stages during the first half of 2024, the companies said. The Wall Street Journal reported the partnership earlier.
AI is no replacement for trusted financial advisors, but it can meaningfully enhance their capabilities as well as the systems they rely on.
Prudential's Jordan Toma is no "Finfluencer," but he is a registered financial advisor with four million social media followers and a message of overcoming personal struggles that's reached kids in 150 school across the US.
GReminders is deepening its integration partnership with a national wealth firm, while Advisor CRM touts a free new meeting tool for RIAs.
The Texas-based former advisor reportedly bilked clients out of millions of dollars, keeping them in the dark with doctored statements and a fake email domain.
The $3.3 trillion tax and spending cut package narrowly got through the upper house, with JD Vance casting the deciding vote to overrule three GOP holdouts.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.
