ING reportedly seeks buyers for $500M of data center loans

ING is reportedly seeking buyers for a portfolio of 12 data-center loans valued at about $500 million, as banks look to shift some of the risk associated with financing the AI infrastructure boom. The loans include a $25 million piece connected to the Stargate project in New Mexico, backed by OpenAI, SoftBank and Oracle, plus assets involving data-center operators Vantage and CyrusOne. Bloomberg reported that ING plans a competitive auction, with bids of at least $10 million due Nov. 19; the bank declined to comment. Buyers could include private-credit firms, asset managers and insurers attracted by the loans’ potential returns.

The sale comes amid mounting questions about whether enormous AI-related borrowing will generate sufficient returns, and whether data-center projects may face delays or regulatory limits. Recent Democratic gains have heightened concern about construction moratoriums or tighter state-level rules, adding to uncertainty for lenders and investors. Market anxiety contributed to a 5.5% drop in the Nasdaq on Thursday, its steepest decline since April 2025. ING’s move fits a wider effort by banks to reduce exposure: JPMorgan Chase and Morgan Stanley have reportedly considered private debt sales and risk-transfer deals that shift credit losses to investors and free bank balance sheets for other lending. Banks must weigh the benefits of reducing exposure against the discounts required to sell and the potential scrutiny of their decisions.