Macquarie boosts loan to fund Sydney AI data centre

Macquarie Technology Group has increased the size of its secured revolving loan facility to AUD $500 million, adding AUD $50 million in debt capacity to accelerate fit-out and equipment procurement for its IC3 Super West data centre development in Sydney.

The increase sits within the group's existing syndicated loan arrangement and was provided by the current banking group. The facility previously provided AUD $450 million in debt capacity.

Macquarie Technology Group owns Macquarie Data Centres, which develops and operates data centre sites in Australia. The group plans to use the additional headroom to bring forward purchases of long lead-time equipment.

IC3 expansion

IC3 Super West is under development in Macquarie Park, Sydney. The incremental funding supports plans to move beyond an initial 6MW of delivered capacity at the site.

Under the latest plan, the equipment procurement programme supports 19MW of planned capacity within IC3 Super West's 47MW design. Macquarie Technology Group linked this approach to current market conditions, with some customers seeking larger blocks of capacity and shorter delivery timelines.

The IC3 site is part of Macquarie Data Centres' campus in Macquarie Park, which the group has referenced as 65MW overall. IC3 Super West is the third facility planned for the campus.

Cooling design

Macquarie Technology Group describes IC3 Super West as an AI-focused data centre. The design includes a hybrid mix of air and liquid cooling, with support for direct-to-chip configurations used in some high-density deployments.

The facility is intended to host a mix of AI and cloud workloads. Across the sector, rising demand for data centre capacity has been linked to expanded cloud adoption, larger enterprise IT estates, and growth in compute-intensive AI systems, which often require higher power density per rack and more specialised cooling than traditional deployments.

IC3 Super West reached a topping-out milestone in late 2025, with commissioning and opening scheduled for the second half of 2026.

Pipeline plans

Macquarie Data Centres has outlined a broader development pipeline in Sydney, referencing plans for about 200MW across sites associated with AI and cloud demand.

Competition for data centre space in Sydney has intensified as global and domestic operators pursue new developments. Demand has been shaped by enterprise refresh cycles, hyperscale expansion, and sovereign hosting requirements across regulated sectors. Constraints on power access, planning approvals, construction resources, and specialist equipment have led some operators to place earlier orders for key electrical and mechanical components.

Macquarie Technology Group positions its data centre operations around sovereign hosting for Australian customers, including government and regulated industries. It also operates in cloud, cyber security, and telecommunications, selling services to mid-to-large businesses and public sector organisations.

The AUD $500 million secured revolving facility gives the group more flexibility to time capital expenditure as the IC3 project moves through construction and fit-out. Revolving facilities are typically used for staged drawdowns and working capital needs during build and procurement, while preserving options for refinancing or longer-term project funding once sites reach stable operations.

David Hirst, Group Executive, Macquarie Data Centres, described the broader development programme and the company's view of market demand.

"IC3 Super West is the next data centre in our pipeline of sites planned to add circa 200MW of AI and cloud capacity in Sydney. Demand for high-density AI infrastructure is the most significant megatrend we've seen in over 25 years in the data centre industry. IC3 Super West, opening in Q3 2026, is purpose-built for the high-density power and liquid cooling demands of new AI technology. Sovereign data centres keep Australia competitive in the global market and are the foundation of our AI future," said David Hirst, Group Executive, Macquarie Data Centres.

The additional debt capacity will be used to acquire long lead-time equipment and bring forward delivery of a larger initial tranche of capacity at IC3 Super West.