AirTrunk secures AUD $4.25 billion green loan for SYD3

AirTrunk has secured an AUD $4.25 billion green loan to expand its SYD3 data centre campus in Western Sydney, supporting continued development of one of its Australian sites.

The funding will add infrastructure for cloud, artificial intelligence and other digital services used by businesses, government and community organisations. The project is expected to support more than 10,000 jobs across construction, trades, engineering, logistics and safety.

The green loan includes margin adjustments, with any savings directed to AirTrunk's social impact programme. The programme supports charities focused on STEM education, digital equity, biodiversity and conservation, sustainable innovation and disaster relief.

Jobs and suppliers

The SYD3 expansion is also expected to create work for contractors and suppliers in Western Sydney and elsewhere in Australia, including in steel and precast manufacturing, freight and logistics, civil works, and electrical and mechanical services.

AirTrunk said its wider supplier base reflects the scale of its regional spending. In FY26, it worked with 1,436 supplier entities across Asia-Pacific, including 615 in Australia, accounting for AUD $3.4 billion in supplier activity.

For the SYD3 project, AirTrunk is using a 25,000 square metre strategic buffer zone in Western Sydney to store, stage and pre-commission data centre equipment before delivery to the campus. It has also invested in dedicated time-charter vessels moving equipment through Port Botany and Port Kembla.

"SYD3 is a long-term investment in Western Sydney and Australia's digital capability, backed by the confidence of leading Australian and international banks. As the campus develops, it's building a regional ecosystem through active hiring, sustained project activity and strategic supply chain partnerships, creating opportunities for local workers, contractors and businesses while delivering infrastructure Australians increasingly rely on. The green financing also reflects our view that sustainability should be built into how digital infrastructure is funded and delivered. We're focused on responsible growth that creates lasting value for communities in the regions where we operate," said Tom Mackellar, Vice President, Origination & Market Expansion, AirTrunk.

AirTrunk said it would continue working with local contractors, suppliers and community partners as the site develops. It is also supporting apprenticeships, technical skills development, vocational education links and post-trade upskilling through work on a national skills advisory group.

Australian footprint

SYD3 will add computing and storage capacity for cloud, AI and enterprise services. AirTrunk said its Australian platform now spans five campuses with more than 1.2GW of capacity.

To date, AirTrunk has invested more than AUD $12 billion across Australian projects and plans a further AUD $75 billion over the next decade. Following the new loan, its total committed debt financing globally stands at about AUD $38.4 billion, including more than AUD $19.8 billion across Australian projects.

The financing is linked to AirTrunk's target of reaching net zero Scope 1 and Scope 2 emissions by 2030. The approach includes energy efficiency measures, renewable energy matching and lower-carbon technologies, alongside efforts to reduce Scope 3 emissions through lower embodied carbon in new builds.

At the SYD3 campus, construction measures include lower-carbon steel and concrete, as well as a target to divert at least 90 per cent of non-hazardous construction waste from landfill. Construction of the expansion is under way, led by A W Edwards, with completion expected by mid-2028.

Lender group

A consortium of 32 domestic and international financial institutions backed the facility, making it one of the largest lending groups assembled for a data centre financing in Australia. Fourteen banks underwrote the loan: Banco Santander, BNP Paribas, Crédit Agricole Corporate and Investment Bank, DBS Bank, Deutsche Bank, ING, Mizuho Bank, MUFG Bank, National Australia Bank, Royal Bank of Canada, Société Générale, Sumitomo Mitsui Banking Corporation, HSBC and United Overseas Bank.

The Green Loan Coordinators were Sumitomo Mitsui Banking Corporation, HSBC and United Overseas Bank. Legal advisers on the transaction were King & Wood Mallesons for the borrower and Gilbert + Tobin for the lenders.

The size of the lender group highlights strong bank appetite for digital infrastructure financing in Australia as developers expand capacity to meet rising demand for data storage and computing. The project will add infrastructure increasingly used every day by Australian businesses, governments and communities.