S&P warns local opposition adds to US data center credit risk

S&P Global Ratings warned that local opposition to US data centers is increasing credit risk through construction suspensions and project cancellations, according to a post by Navroop Singh. S&P tracked 146 delayed or cancelled projects, roughly three-quarters linked to local opposition. The warning connects prolonged delays with potential rent abatements and early lease terminations that could weaken project creditworthiness. Current rating impacts remain limited, but sustained suspensions, slower approvals or policy reversals could increase downgrade risk.