BlackChamber Group has successfully secured over $1.2 billion in construction financing for its ambitious data center development projects in Virginia. This funding, facilitated by JLL’s Capital Markets team, will support the construction of four hyperscale-powered shell campuses across Northern Virginia, collectively contributing over 740 megawatts (MW) of capacity. The development is part of BlackChamber’s broader portfolio, which aims to deliver 1.5 gigawatts (GW) and 6 million square feet of space at full build-out.
JLL Facilitates Strategic Financing for BlackChamber
JLL played a pivotal role in securing the funding, which will be distributed throughout 2024 to develop these state-of-the-art facilities. BlackChamber Group’s Northern Virginia development portfolio includes plans for up to eight campuses with a combined 1.5GW of capacity. These facilities will cater to the growing demand for data center space in one of the most vital markets for cloud and hyperscale infrastructure.
BlackChamber’s Vision for Vertically Integrated Data Centers
Founded in 2019, BlackChamber Group has rapidly gained a reputation as a purpose-built, vertically integrated data center developer. The company specializes in creating build-to-suit powered shells for hyperscalers, providing tailored infrastructure to meet the unique needs of high-demand clients. Their portfolio already spans more than 300 acres of land in key Northern Virginia locations, including Loudoun and Prince William counties.
Focus on Strategic Locations and Hyperscaler Needs
The developer’s land holdings in Loudoun and Prince William counties include areas in Arcola, Sterling, Leesburg, and Gainesville, all strategically located in Virginia’s data center corridor. Notable projects in the region include the John Marshall Commons Tech Park in Haymarket and the Village Place Technology Park in Gainesville, as well as ongoing developments in Arcola and Loudoun’s Innovation Gateway. These sites are positioned to serve some of the largest global tech companies.
BlackChamber’s Expertise and Industry-Leading Financing Solutions
BlackChamber’s strong team, composed of professionals with experience at Meta, JLL, COPT, Credit Suisse, and Whiting-Turner, has been instrumental in advancing the company’s development agenda. According to Conley Patton, BlackChamber’s managing partner, the firm’s ability to secure such substantial financing—despite a challenging market—demonstrates the company’s strategic approach to capital solutions. JLL’s deep industry relationships and expertise were crucial in matching the company with the right financial partners.
Diverse Capital Sources Drive Data Center Financing
Drake Greer, Senior Director at JLL, emphasized the growing role of data centers in the commercial real estate and infrastructure sectors. “What was once a small alternative segment of the commercial real estate industry is now a large segment of equity and debt deployments,” he stated. The financing packages for BlackChamber reflect the diversity of capital sources now actively targeting data center investments, ranging from bank balance sheets to private credit vehicles funded by insurance company capital.
FAQ Section
1. What is BlackChamber Group’s primary business focus?
BlackChamber Group specializes in building purpose-built, vertically integrated data centers, primarily offering powered-shell solutions for hyperscalers.
2. How much power capacity will BlackChamber’s data center campuses provide?
The company’s development in Northern Virginia will result in four campuses with a total capacity of 740MW, with future plans targeting 1.5GW at full build-out.
3. Where are BlackChamber’s data center campuses located?
BlackChamber’s campuses are located across Northern Virginia, including Loudoun and Prince William counties, in areas such as Arcola, Sterling, Leesburg, and Gainesville.
4. What role did JLL play in BlackChamber’s financing?
JLL’s Capital Markets team arranged over $1.2 billion in construction financing for BlackChamber, leveraging its relationships with diverse lenders to secure favorable funding options.
5. How does BlackChamber attract capital for its projects?
BlackChamber has attracted diverse capital sources, including bank balance sheets, commercial real estate investments, infrastructure verticals, and private credit funds supported by insurance company capital.
