Jane Street Lease Backs $2.25 Billion of Green Data-Center Bonds

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(Bloomberg) — Zenith Arc, an Oklahoma data center project that is leasing its capacity to Jane Street, is selling $2.25 billion of green bonds, adding to the flurry of builders tapping the market for environmentally focused debt.

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Proceeds from the five-year senior secured notes due will be used to finance the development and construction of a compute facility and a substation that will support around 149 megawatts of power capacity, according to a Moody’s Ratings report. The bonds are scheduled to price today, and the agency assigned them a Ba2 grade. 

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The data centers needed to support artificial intelligence have come under scrutiny for their heavy use of natural resources. Several projects, though, have managed to tap the green bond market by promising to meet standards around renewable energy and sustainable water management. 

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Edged Compute sold $1.3 billion in green bonds earlier this year, while TeraWulf secured $3.2 billion to finance data centers. Sustainable bond issuances for such projects reached $11.2 billion in 2025, up from $7.6 billion the year before. 

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Green bonds can offer developers access to environmentally conscious buyers and potentially lower borrowing costs. But some investors have raised questions about supporting data-center projects. 

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Zenith is a joint venture between Fluidstack and Next Frontier, AI infrastructure companies.

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The Zenith facility is leased to a subsidiary of Jane Street Group under a 15-year absolute triple-net structure requiring the tenant to pay operating costs, taxes, utilities, insurance and power charges in addition to base rent, according to the offering memorandum. Jane Street Group provides a customary lease guaranty, according to Moody’s.

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Jane Street, which has grown to become one of the largest market-making firms in the US, has built, leased and financed data centers as a way to keep up with the demand for computing power that it uses to run its trading systems. It gets some of its computing power from a data center in Dallas, as well as partnerships with cloud service providers like CoreWeave Inc. 

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A representative for Jane Street didn’t immediately respond to a request for comment on the deal.

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The explosion of demand for AI data center capacity has broadened a cloud computing market that was once dominated by a few tech giants to a number of smaller players, some of them former crypto miners, with AI chips available to rent to buyers jockeying for capacity. Some trading firms are also investing in the chip companies themselves, as a way to test the newest products from startups and established players like Nvidia Corp.

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New York-based Jane Street, which handles investors’ trades and also makes wagers with its own money, started in 2000. It has since built out operations for handling thousands of trades within seconds like other high-frequency shops, while also profiting from holding some positions for hours, days and even weeks.

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