Quiz

Question 1 of 10

Why can a data center support a high proportion of debt in its capital structure once it is leased and operating?

• ABecause construction costs are fully reimbursed by the government
• BBecause a long lease to a creditworthy tenant turns the building into a stream of predictable, bond-like contracted cash flow
• CBecause data centers never lose value over time
• DBecause equity investors are legally required to fund most of the asset