APAC data center operator AirTrunk has secured a record-breaking $1.24 billion green loan in Japan.

The funds will be used to refinance and develop the company's TOK1 hyperscale data center campus, located in East Tokyo. AirTrunk said it will add additional capacity to the campus, which is scalable to more than 300MW. The operator added that it had recently begun construction of an additional 100MW of IT load at the site due to demand.

The loan is structured under AirTrunk’s Green Financing Framework, a set of guidelines by which AirTrunk aims to develop data centers sustainably, with the renewable energy transition, net zero carbon, water resilience, and nature and biodiversity stewardship in mind.

The company said the loan met its energy efficiency standards, which require its data centers to operate more efficiently than the regional average, using less energy and reducing emissions.

AirTrunk said this is the largest ever data center financing completed in Japan and part of its broader investment in the country, which now totals $8 billion.

Late last year, the operator announced plans to develop a new hyperscale data center campus in Osaka, Japan, titled OSK2. With this, AirTrunk said its four campuses in Japan, TOK1, TOK2, OSK1, and OSK2, will deliver 530MW of total capacity at full build-out.

“Japan is one of the world’s most important cloud and AI markets, and we’re committed to building the digital infrastructure that enables its long-term growth,” said AirTrunk founder and CEO Robin Khuda.

“AirTrunk has been investing deeply in Japan for this reason - to build the hyperscale platform that will underpin the country’s digital future and connect it to the broader region. This landmark financing enables us to accelerate the expansion of TOK1 and continue delivering the capacity our customers need today, while preparing Japan for the extraordinary compute demands ahead.”

The financing was led by SMBC, MUFG, Crédit Agricole CIB, and Société Générale as global coordinators. Some 12 banks participated as mandated lead arrangers and bookrunners, including BNP Paribas, The Chiba Bank, DBS Bank, E.SUN Commercial Bank, Mizuho Bank, Natixis, Oversea-Chinese Banking Corporation (OCBC), and UnitedOverseas Bank, as well as the four global coordinators.

AirTrunk was founded in 2018 and acquired by Blackstone and Canada Pension Plan Investment Board in 2024 for $16.1 billion.

Outside of Japan, the operator has data center campuses in operation and development across APAC, including Australia's Sydney and Melbourne, Singapore, Hong Kong, and Johor in Malaysia.