Data center infrastructure provider Serverfarm has completed a significant sustainability-linked loan (SLL) amendment to its $1.637 billion North American credit facility. The modification, supported by Manulife Investment Management, ties loan pricing directly to Serverfarm’s environmental performance metrics. It reflects the company’s broader commitment to sustainability as it expands its portfolio of hyperscale campuses and AI-optimized data centers across North America.
The new financing structure sets concrete environmental goals for Serverfarm, including a target of improving power efficiency by more than 15% by 2033. TD Securities serves as both the administrative agent and the sustainability structuring agent for the facility. The deal follows a December 2024 announcement of the credit facility’s expansion and underlines Serverfarm’s strategy to align sustainable business practices with the rising demands of AI and cloud-driven infrastructure.
Serverfarm CEO Avner Papouchado emphasized that the SLL reflects a growing intersection between sustainability and technology. “This sustainability-linked loan reflects our unwavering commitment to environmental stewardship while delivering the advanced infrastructure that powers the digital economy,” said Mr. Papouchado. “We’re demonstrating that technology and sustainable development go hand in hand as we grow our portfolio.”
PUE, Renewable Energy
Serverfarm’s sustainability efforts extend beyond power usage effectiveness. Its approach includes the adaptive reuse of existing properties – a model that reduces embodied carbon by up to 88% compared to new construction. This redevelopment strategy also cuts standard deployment timelines from more than three years to just 12–18 months.
The company’s facilities are engineered for emerging AI workloads, integrating high-density power designs and advanced liquid cooling systems to optimize computational efficiency while minimizing environmental impact. Serverfarm also incorporates renewable energy across its data center portfolio, including the exclusive use of renewables at its Moses Lake site in Washington State.
Operating in key metropolitan markets such as Toronto, Atlanta, Chicago, Houston, Los Angeles, London, Amsterdam, and Tel Aviv, Serverfarm continues to position itself at the convergence of digital infrastructure expansion and responsible environmental practices. Its partnership with Manulife and other financial institutions underscores a growing trend: sustainability performance is becoming as important as uptime in the future of data center operations.
