Brookfield wants to build AI data centers in London’s answer to Wall Street

Brookfield Asset Management wants to bring data centers to London's Canary Wharf, the financial district often dubbed the "U.K. Wall Street," CEO Connor Teskey told CNBC on Thursday.

Speaking with CNBC's "Squawk Box Europe" in Canary Wharf, Teskey said AI infrastructure, and the underlying energy requirements needed to support it, are now "the single largest theme at Brookfield today, bar none."

The firm, which invests across real estate, infrastructure, renewables and private markets, has a multi-gigawatt portfolio of data centers globally, with a growing pipeline of sites both under construction and in development.

It also co-owns and manages Canary Wharf, alongside the Qatar Investment Authority, via the Canary Wharf Group property company.

"We think there is a huge opportunity for AI in the U.K. and Europe because it is that middle ground between the United States and China. The U.K. does not have a home-grown hyperscaler, so the creation of AI infrastructure and the driving of productivity from AI is going to have different dynamics here — it's probably going to be driven more by governments than by the hyperscalers."

Brookfield launched a dedicated AI infrastructure fund anchored by Nvidia in November last year, and has also agreed dedicated AI partnerships with governments in France and Sweden.

Teskey also shrugged off concerns about an AI data center bubble.

"If you build data centers against long-term contracts with the best counterparties in the world, we think there's more to be done. We're going to bring data centers here to Canary Wharf. They're going in everywhere."

He said three key trends — soaring energy demand, greater digitalization, and the rewiring of global supply chains — now dominate the investment landscape and are creating an "immense need" for capital.

"[With] that combination of increased energy [and] the productivity benefits of AI on a global basis, we're looking at a productivity step up that makes investment incredibly attractive," Teskey added

Teskey conceded that there are pockets of froth within the current market, adding that the prevailing environment calls for increased investment discipline.

"But it's not a reason not to be excited about those big trends," he said.