Elk Grove Village Property Seeks $850 Million Junk Bond for CoreWeave Data Center
Updated
Updated · Bloomberg · Jun 1
Elk Grove Village Property Seeks $850 Million Junk Bond for CoreWeave Data Center
1 articles · Updated · Bloomberg · Jun 1
$850 million is being sought by Elk Grove Village Property LLC through a junk-bond sale to finance a CoreWeave-linked AI data center in the Chicago area.
The project is a build-to-suit hyperscale facility fully leased to CoreWeave for 15 years, according to a person with direct knowledge of the matter.
That lease is expected to generate about $2.2 billion in revenue, with CoreWeave also holding two seven-year renewal options covering the entire premises and critical IT power.
The offering adds to a broader wave of high-yield borrowing as developers tap debt markets to build out artificial-intelligence infrastructure.
Is the AI data center boom creating a high-yield debt bubble that could trigger a financial crisis?
With a massive skilled labor shortage, can the ambitious AI data center construction timeline even be met?
As AI demands immense power, who truly bears the cost for these new energy-hungry data centers?