Powered land
A site marketed with some degree of access to electrical capacity; the term has no single financing-grade definition.
How it works
Powered land is a site offered for data centre development with some level of access to electrical capacity. The phrase has no fixed definition: it can mean anything from a signed connection agreement with energisation dates and capacity reserved, to an application in a grid queue. Because power is the main constraint on new data centres, powered land trades at large premiums to ordinary industrial land.
In GPU and data centre deals
Lenders and investors look through the label to the documents. A financing against powered land is essentially development finance against a power right, so the questions are about the connection agreement: who holds it, how much capacity, when it energises, what upgrades and costs are required, and whether it can be assigned or charged. Land and connection rights are often financed with equity or short bridge facilities until a lease is signed.
What gets negotiated
- Status and holder of the grid connection or interconnection agreement
- Firm versus interruptible capacity, and energisation dates
- Security over the connection rights and any consent needed from the network operator
- Planning or zoning permission for the intended data centre use
Why the distinction matters
Record exactly what exists: land rights, an application, a signed connection offer, reserved capacity, completed works or energisation. Do not treat these stages as interchangeable.
Read the structure
A financing framework for land, connection rights and delivery risk.
Financing powered land: prove the power milestone ↗For in-house counsel
Take it to the documents
The filed wording behind GPU and data centre financings, for either side of the table. Previews are open; the full text is free with InfraCompute Weekly.
- Financing clause libraryCash traps, coverage ratios, cures and step-in, from the filed deals.
- Contract libraryGPU contracts, leases, power, equity and JVs, quoted from filed contracts.
- Issues list builderBuild an issues list from the lender’s or the borrower’s side.
- The legal desk for in-house counselContract library, issues lists, checklists and English law notes.
Related terms
Explanatory definition, not a statement that a particular transaction contains this term or a substitute for its contractual definition.
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