Blackstone NYSE:BX is moving to sell stakes in three Northern Virginia data centers to Digital Realty Trust NYSE:DLR for $3.5 billion, locking in proceeds from part of a major AI infrastructure bet made less than three years ago. Digital Realty will fund the deal with $1.2 billion in cash and $2.3 billion in shares, giving it greater ownership of fully leased hyperscale assets in one of the country's most important data-center markets.
The transaction covers Blackstone's 80% interest in two 96-megawatt data centers in Manassas, Virginia, and its 50% interest in another 96-megawatt facility in nearby Sterling. Digital Realty said the deal reflects the next stage of its partnership with Blackstone, while both firms will continue working together on remaining data-center investments in Northern Virginia, Paris, and Frankfurt.
The sale comes as Wall Street continues pouring capital into data centers tied to the AI boom, even as Northern Virginia projects face growing local opposition. Blackstone, which manages more than $1.3 trillion, still has more than $150 billion of data-center assets and has identified another $160 billion of pipeline opportunities, while affiliates are already offering Digital Realty shares from the deal at up to $188 each.