Data center investment heats up with $15B sale, new REITs, and contested sites

Koch-backed data center firm Edged is reportedly up for sale for $15 billion, while Oregon's governor has blocked a land sale for a new facility, highlighting the competing forces of surging demand and local opposition shaping the industry.

Edged, which operates energy-efficient data centers across North America and Europe, has received multiple bids, according to a report from Data Center Dynamics. The sale process comes as AI infrastructure demand drives record investment in data center capacity worldwide.

New investment vehicles and consortiums emerge

Substrate AI has established a data center REIT to hold its real estate assets, including a planned facility in Toledo, Spain. The move allows the company to separate its infrastructure holdings from its AI operations, potentially attracting real estate investors. Meanwhile, Japan's NTT, Tokyu Land, and Sakura Internet have formed a consortium to develop a data center hub in Ishikari, Hokkaido, leveraging the region's abundant renewable energy. The consortium aims to build multiple facilities on the island's northern coast.

• Edged sale could be one of the largest data center M&A deals of 2025, with a valuation of $15 billion.
• Oregon Governor Tina Kotek halted the sale of state-owned land in Salem to Verrus, citing environmental and community concerns.
• Substrate AI's REIT will hold the company's data center developments, starting with its Toledo project.
• Japan's Ishikari consortium plans to utilize local wind and solar energy for new data centers.
• Jet.AI acquired a 26% stake in Alberta-based StratGrid, which has two behind-the-meter data centers in development in the province.

Local opposition and regulatory hurdles shape growth

Oregon's decision reflects growing pushback against data center development in some regions. Governor Kotek stopped the sale of state-owned land to Verrus, a company planning a data center campus near Salem. The move follows similar moratoriums in other states, including parts of Virginia and Georgia, where concerns about water use, power consumption, and tax incentives have prompted local governments to pause approvals.

Meanwhile, the industry continues to attract capital from diverse sources. Jet.AI, an aviation company, is investing in behind-the-meter data center developer StratGrid, which builds facilities directly connected to power sources. This unusual partnership highlights how non-traditional investors are entering the space. The Edged sale could set a valuation benchmark for efficiently designed data centers. The Oregon decision may encourage other developers to target regions with fewer restrictions. The REIT model and consortium approach in Japan show how financing structures are adapting to meet demand for AI infrastructure.