Serverfarm secured a $3.0 billion credit facility in December 2025 to accelerate construction of multiple hyperscale data center campuses across North America. A syndicate of 23 institutional lenders backed the facility, providing capital to advance large-scale, AI-ready infrastructure for cloud providers and AI-focused customers.
The financing supports a pipeline anchored by a Houston hyperscale campus with more than 500MW of development potential across 250 acres, located in the city’s energy corridor and designed with dual on-site substations. Additional projects include a nearly 500,000-square-foot expansion in Covington, Georgia, delivering 60MW of critical IT capacity for a single hyperscale tenant, and a 4MW expansion at Serverfarm’s Toronto site to support growth for a Canadian hyperscale customer.
TD Securities acted as administrative agent and joint lead arranger for the transaction. Serverfarm said the facility strengthens its ability to move projects from entitlement through delivery on accelerated timelines, a key requirement as customers deploy high-density GPU infrastructure and AI workloads at scale.
- $3.0 billion credit facility backed by a 23-lender institutional syndicate
- Houston HTX1 campus with 500MW+ development potential across 250 acres and dual on-site substations
- Atlanta expansion: 498,960 sq ft, 60MW IT capacity for a single hyperscale tenant
- Toronto expansion: 4MW added capacity at an existing site
- TD Securities served as administrative agent and joint lead arranger
“This $3.0 billion facility provides the capital foundation to accelerate our hyperscale campus development pipeline at a time when speed to market is a competitive differentiator,” said Avner Papouchado, CEO of Serverfarm. “Our proven basis-of-design enables accelerated delivery timelines, allowing cloud providers and AI innovators to deploy GPU-intensive workloads when timing matters most.”
🌐 Analysis
Serverfarm is a privately held data center developer and operator founded in the late 1990s, with headquarters in Los Angeles and a track record spanning more than 25 years across hyperscale, enterprise, and mission-critical infrastructure. The company has evolved from adaptive-reuse data centers into a specialist in large-scale, AI-ready campus developments, with a particular focus on build-to-suit facilities for hyperscalers and cloud platforms. Its portfolio spans North America, Europe, and Israel, with operational or development assets in markets such as Houston, Northern Virginia, Chicago, Atlanta, Los Angeles, Moses Lake, Amsterdam, London, Tel Aviv, and Toronto. Serverfarm positions itself as both a developer and long-term operator, emphasizing standardized “basis-of-design” templates intended to shorten entitlement, construction, and commissioning timelines.
Management is led by CEO Avner Papouchado, who has overseen the company’s shift toward hyperscale campus strategy and AI-driven workloads. A defining feature of Serverfarm’s platform is its emphasis on high-density thermal management, including closed-loop liquid and water-cooling architectures designed to support GPU-intensive deployments while minimizing water waste. This design philosophy aligns with rising customer requirements for direct-to-chip cooling, higher rack densities, and predictable power and cooling envelopes as AI training and inference workloads scale. The announced Houston HTX1 campus—500MW+ across 250 acres with dual on-site substations—fits squarely into this model, prioritizing power scalability, energy corridor access, and phased expansion over multi-year buildouts.
