Related Digital Nears $16 Billion Financing for Major AI Data Center Project in Michigan

Related Digital Nears $16 Billion Financing for Major AI Data Center Project

April 2, 2026

In a significant move to bolster U.S. artificial intelligence infrastructure, data center developer Related Digital is finalizing approximately $16 billion in financing for a massive AI data center campus in Michigan being developed for tech giant Oracle. This financing effort underscores the immense capital required to build the next generation of computing facilities powering the global AI race, where Big Tech firms are investing hundreds of billions to develop advanced systems.

According to a source familiar with the matter, the financing package is nearing completion. The project, located in Saline Township, Michigan, was first announced in October 2025 as a collaborative effort between Related Digital, Oracle, and OpenAI. It forms a key part of the "Stargate" initiative aimed at dramatically expanding AI infrastructure capacity. The campus is designed to eventually support over 1 gigawatt of power, a scale indicative of the enormous energy demands of advanced AI model training and inference.

Full construction on the site commenced in February, and financing is expected to be finalized shortly, Related Digital stated. The financial structure, as reported by Bloomberg News, involves a nearly $2 billion equity contribution from Blackstone. This represents about half of the equity initially under consideration for the investment firm. Concurrently, Bank of America is leading an additional $14 billion in debt financing. This debt portion was originally planned as a construction loan but is now expected to be structured as a bond offering. Bank of America declined to comment on the report, while Blackstone did not immediately respond to requests for comment.

Oracle confirmed significant progress on the ground. "We are proud of the rapid progress that's been made both in financing and developing our data center in Saline Township, Michigan," an Oracle spokesperson said. The spokesperson added that the project has hit a major milestone with vertical construction now underway and is progressing on schedule.

The scale of this single financing round highlights the capital-intensive nature of modern AI data center construction. Successfully securing such a large package would not only enable the rapid completion of a critical infrastructure hub but also set a benchmark for future mega-projects in the industry. It signals strong institutional confidence in the long-term demand for AI compute capacity and the viability of large-scale, purpose-built facilities to meet it.

Source: Reuters