Rising Data Center Demand Spells Bonanza for Landowners

The demand for data centers is on the rise across the U.S., which is good news for landowners who can capitalize on the surging energy requirements that accompany this demand. According to Avison Young Market Intelligence data, approximately 30% of the land transacted in 2024 was at the hands of institutional real estate owners—including developers, real estate companies and investors—who increasingly view data centers as a long-term, high-value investment in prime locations.

“Data centers are in high demand and landowners are well-positioned to reap the benefits, especially if their property has access to power and access to a fiber network—the two primary traits that data center developers will want to confirm right out of the gate,” said Howard Berry, principal, director, data center solutions at Avison Young.

Avison Young’s Spring 2025 Viewpoints article, “Data centers in demand – is your land a perfect fit?” explores key factors for landowners to consider in determining whether their property is suitable for data center development. It discusses how data centers benefit communities and, contrary to popular belief, don’t represent a massive drain on local water supplies.

The post Rising Data Center Demand Spells Bonanza for Landowners appeared first on Connect CRE.