This loan marks the second data center construction loan exceeding $2 billion in 2025, following a $2.3 billion loan granted in January for a facility in Abilene, Texas.

Historically, data center loans have typically been under $1 billion, but the increasing demand for larger facilities to support AI has prompted lenders to significantly raise loan amounts.

The construction of this data center campus is expected to generate significant economic benefits and job opportunities in the region, further bolstering local development.

The $2 billion loan was arranged by Newmark, led by a team from Jordan Roeschlaub, highlighting the collaborative efforts in securing financing for large-scale projects.

This ambitious development is being executed by CIM Group and Novva Data Centers in West Jordan, with plans to deliver an impressive 175 megawatts of continuous electricity.

Developers are increasingly utilizing pre-leased agreements to secure funding before construction begins, which helps mitigate financial risks associated with large-scale data centers.

JPMorgan Chase and Starwood Property Trust have teamed up to provide a substantial $2 billion loan for a major artificial intelligence-focused data center project in Utah, marking one of the largest construction loans in recent years.

The financing arrangement underscores a strategic trend among financial institutions to invest heavily in technology and infrastructure sectors, particularly as the demand for data storage and processing capabilities surges.

The new data center is set to cater to a diverse range of clients across various industries, enhancing their digital infrastructures and supporting ongoing digital transformation efforts.

Utah was chosen for this project due to its lower risk of natural disasters, although concerns about water supply remain; the design includes a water recirculating system to cool the computers efficiently.

The collaboration between JPMorgan, a leading financial services firm, and Starwood, known for its real estate investments, signifies a growing trend of integrating finance with technological advancements.

Overall, this investment reflects the escalating demand for data center infrastructure driven by the rapid expansion of digital and cloud services.