Lenders scrutinize US data center financing amid community opposition

Wall Street lenders are increasing their scrutiny of U.S. data center financing due to growing political and community opposition. Banks and asset managers are now factoring local resistance, including concerns over electricity costs, water use, and noise, into their credit-risk assessments. This heightened attention stems from the risk of project delays or cancellations. According to Data Center Watch, at least 75 data center projects valued at approximately $130 billion faced local opposition in the first quarter of 2026. Despite these challenges, financial institutions remain interested in AI infrastructure but are paying closer attention to permitting processes and community sentiment. Goldman Sachs forecasts over $6 trillion in AI infrastructure spending by 2030.