Ares Management, Blue Owl and Blackstone are emphasizing long data-center leases as AI financing expands into private credit, while Moody’s flags project delays and refinancing pressures as credit risks.
Ares Management CEO Michael Arougheti estimated that AI-related capital needs would exceed $5 trillion through 2030, including about $2 trillion for data-center buildings and supporting power generation and transmission, Reuters reported. Arougheti gave the estimate on the firm’s Oct. 29 earnings call. He also described financing shifting from equity and investment-grade borrowing toward leveraged loans and private credit, Reuters reported.
Blue Owl had more than 130 data centers operating or under construction, Reuters reported. The company’s leased and owned capacity was close to 14 gigawatts, with another 21 gigawatts represented by projects in its pipeline. Blue Owl co-CEO Marc Lipschultz told Reuters that leases generally run 15 to 20 years and include annual rent increases.
Reuters reported that Ares pre-leases facilities to investment-grade hyperscalers on 12- to 15-year agreements. The contracts include inflation-linked rent adjustments and no termination rights. Tokyo, Osaka, London and Sao Paulo are among the firm’s target markets, Reuters reported.
Reuters reported that Blackstone executives said initial lease periods for most of the firm’s data-center portfolio range from 15 to 20 years. The outlet also reported that executives described 96% of counterparties as investment grade, with an average market capitalization of $2.5 trillion.
Long contracts are part of the firms’ case for investing in data centers. Moody’s Ratings said its Oct. 27 research identified risks from rising AI exposure in private credit, business ties among companies and a large volume of loans due across sectors in 2027–29. The agency also said construction, power supply, commissioning or tenant-readiness delays can defer revenue and make refinancing harder. A completed building may still lack power or paying users; Moody’s says credit analysis should consider whether facilities are operating and generating cash.
Moody’s identified the 2027–29 loan maturities as a period when refinancing risks will matter to credit quality.
