AirTrunk secures $3 billion green loan to expand its Sydney data centre

what happened

Blackstone-backed AirTrunk has secured a green loan of A$4.25 billion (about $2.98 billion) to continue building its SYD3 campus in Western Sydney. The company said the project is one of Australia's largest hyperscale data centres and will add infrastructure for cloud computing, AI and other digital services.

The loan was backed by 32 local and international financial institutions, and 14 lead banks underwrote it, including DBS Bank, MUFG Bank, National Australia Bank, HSBC and UOB. Sumitomo Mitsui Banking Corporation, HSBC and UOB acted as green loan coordinators. AirTrunk's total committed debt financing now stands at about A$38.4 billion globally, of which more than A$19.8 billion is tied to Australian projects. Completion of the expanded SYD3 development is expected by mid-2028.

The deal comes amid growing investor caution toward capital-intensive AI infrastructure. Earlier, NextDC said it would shelve all new development projects and land acquisitions, and Nvidia-backed Firmus postponed its $5 billion IPO plan.

why it matters

The deal shows that banks still fund large data centre projects despite market doubts about returns on AI infrastructure. For investors, it signals that lenders are becoming more selective: projects with strong backers can still raise capital, while others face tighter financing.

market impact

AI infrastructure and data centres: large financing supports the sector, but lenders are becoming more selective.

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