Digital Realty acquires $3.5 billion stake in three Blackstone-owned Virginia data centers optimized for AI infrastructure.

Digital Realty Trust has agreed to acquire Blackstone's majority stakes in three Northern Virginia data centers for $3.5 billion. Digital Realty will pay $1.2 billion in cash and $2.3 billion in its own shares for Blackstone's 80% interest in two 96-megawatt data centers in Manassas, Virginia, and a 50% interest in a 96-megawatt center in Sterling. The transaction is expected to close Tuesday.

Blackstone affiliates have begun selling the Digital Realty stock they are set to receive, offering it at up to a 2.9% discount to Monday's closing price of $190.58. Digital Realty shares fell 5.29% in premarket trading, while Blackstone shares remained unchanged.

The assets originated from a joint venture Blackstone and Digital Realty formed in 2023 as both companies positioned for the AI infrastructure buildout. The two companies will continue working together on remaining data center investments in Northern Virginia, Paris, and Frankfurt. Digital Realty Chief Investment Officer Greg Wright said the deal builds on the partnership and increases the company's ownership in a fully leased, high-quality hyperscale portfolio.

Blackstone manages more than $1.3 trillion in assets and operates the largest global data center platform, with more than $150 billion in data center assets and another $160 billion identified in its pipeline. The firm acquired QTS in 2021 and AirTrunk in 2024, and took its data center investment vehicle, Blackstone Digital Infrastructure Trust, public in May.