Blackstone Sells Three NoVA Data Centers to Digital Realty for $3.5B
The deal comes two years after the companies formed a hyperscale-focused joint venture
By Andrew Coen June 30, 2026 10:26 am
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Blackstone has sold its interests in three Northern Virginia data centers to Digital Realty Trust for $3.5 billion, the private equity giant announced late Monday.
Digital Realty has agreed to pay $1.2 billion in cash and $2.3 billion in shares to acquire Blackstone’s 80 percent interest in two 96-megawatt data centers in Manassas, Va., and a 50 percent stake in one 96-megawatt data center in Sterling, Va. The deal, which is slated to close Tuesday, was executed two and half years after the two firms formed a $7 billion hyperscale data center joint venture in December 2023.
“We have developed a strong partnership with Blackstone through the successful ongoing development of these assets, and we continue to work together across the remaining data center investments in our joint ventures in Northern Virginia, Paris and Frankfurt,” Greg Wright, chief investment officer of Digital Realty, said in a statement. “This transaction reflects the next phase of that relationship, allowing us to increase our ownership in a portfolio of fully leased, high-quality hyperscale assets that extend our runway for growth and pipeline of product for the continued expansion of our strategic private capital platform.”
Blackstone touted during its first-quarter earnings call in April that it was the world’s largest investor in AI-related infrastructure. That included a data center portfolio of $150 billion and a pipeline of $160 million in new data center development, as Commercial Observer previously reported. The company held an initial public offering for its new data center investment vehicle, Blackstone Digital Infrastructure, in May.
Mike Forman, global head of digital infrastructure for Blackstone Real Estate, and Greg Blank, global head of digital infrastructure for Blackstone Infrastructure Strategies, said in a joint statement that “the demand for digital infrastructure is even stronger today than when we established this joint venture in 2023, and we have deep conviction in the opportunity ahead.”
Andrew Coen can be reached at acoen@commercialobserver.com.
