In the first quarter of 2026, at least 75 projects worth about $130 billion faced local opposition, according to research firm Data Center Watch. Big tech companies will spend more than $6 trillion on AI through 2030 — many times the capital deployed to internet infrastructure during the dotcom era, Goldman Sachs forecasts.
Banks typically begin talks on funding a project at least a year before construction starts and have recurring conversations with developers as it progresses, another banking source said, meaning that problems with projects can waste time and energy doing additional due diligence.
Banks are involved in several projects that face community action.
For example, banks including JPMorgan and Morgan Stanley managed the $12.3 billion bond sale for BlackRock, a partner with Meta on a data center project in El Paso, Texas, according to a term sheet seen by Reuters. Some residents oppose the project. JPMorgan, Morgan Stanley and BlackRock declined to comment while Meta said the company is actively engaging with residents, city leaders, and local organizations.
Data center operator QTS, owned by private equity firm Blackstone, did not approach lenders for bank financing for its now-terminated Prince William Digital Gateway data center project in Virginia, a source familiar with the matter said. The project had faced strong local opposition. QTS declined to comment.
Firms including Morgan Stanley and KKR Capital Markets were among the lead arrangers for a $9.7 billion warehouse credit facility for Dallas-based data center operator CyrusOne, which is facing opposition from residents to its $500 million center in Sangamon County, Illinois, according to NPR. CyrusOne said it has financing for the project, without providing details. Safeguards are in place for the financiers, as part of the credit facility can be used for new construction only if all permits and leases are in place, one of the sources said. Morgan Stanley and KKR declined to comment.
Bank of America, one of the biggest U.S. lenders to AI-related companies, is also a structuring agent and one of the financial advisors to Related Digital, the developer of a $16 billion data center campus in Saline Township, Michigan, purpose-built for Oracle. The project has faced opposition from residents but is moving ahead. BofA declined to comment.
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