Data Center Real Estate Market Report 2026

Data Center Real Estate Market Overview

• Data Center Real Estate market size has reached to $76.88 billion in 2025 • Expected to grow to $143.32 billion in 2030 at a compound annual growth rate (CAGR) of 13.2% • Growth Driver: Rising Adoption Of IoT Devices Fueling The Growth Of The Market Due To Increasing Data Storage And Processing Needs • Market Trend: New Interconnected Hub Boosts Regional Digital Growth • North America was the largest region in 2025 and Asia-Pacific is the fastest growing region.

What Is Covered Under Data Center Real Estate Market?

Data center real estate refers to specialized properties designed to host computing infrastructure, including servers, storage systems, and networking equipment in highly secure and resilient environments. It focuses on facilities engineered with robust power, cooling, and connectivity systems to ensure uninterrupted digital operations. It encompasses the acquisition, development, and management of buildings optimized for supporting large-scale data processing and storage needs. The main property types of data center real estate include colocation, hyperscale, wholesale, retail, and enterprise properties. Colocation properties are data centers where multiple customers can rent space, power, and cooling resources while sharing the same infrastructure, allowing for scalable and flexible IT operations. Different ownerships are owner-occupied and leased. Multiple enterprise sizes are small and medium enterprises (SMEs) and large enterprises, and they are used by several applications across information technology (IT) and telecom, banking, financial services, and insurance (BFSI), healthcare, government, energy, and others.

What Is The Data Center Real Estate Market Growth Forecast?

The data centre real estate market size is expected to see rapid growth in the next few years. It will grow to $143.32 billion in 2030 at a compound annual growth rate (CAGR) of 13.2%. The growth in the forecast period can be attributed to growing adoption of edge computing, rising demand for colocation services, increasing focus on data centre sustainability, expansion of data centre footprint, and growing interconnectivity between data centres. Major trends in the forecast period include advancement in ai-driven infrastructure, innovation in liquid cooling systems, development in sustainable energy r&d, innovation in modular data centre design, and advancement in ai-optimized site selection.

Global Data Center Real Estate Market Segmentation

1) By Property Type: Colocation, Hyperscale, Wholesale, Retail, Enterprise, Other Properties 2) By Ownership: Owner-Occupied, Leased 3) By Enterprise Size: Small And Medium Enterprises (SMEs), Large Enterprises 4) By Application: Information Technology (IT) And Telecom, Banking, Financial Services, And Insurance (BFSI), Healthcare, Government, Energy, Other Applications Subsegments: 1) By Colocation: Shared Rack Space, Dedicated Cage, Private Suite 2) By Hyperscale: Cloud Service Provider Facility, Large Enterprise Facility, Internet Company Facility 3) By Wholesale: Full Data Hall Lease, Partial Building Lease, Multi-Tenant Lease 4) By Retail: Single Rack Lease, Multiple Rack Lease, Cabinet Lease 5) By Enterprise: On-Premises Enterprise Facility, Corporate Campus Data Center, Dedicated Organizational Facility 6) By Other Properties: Edge Data Center, Modular Data Center, Hybrid Data Center

What Is The Driver Of The Data Center Real Estate Market?

The rising adoption of internet of things (IoT) devices is expected to propel the growth of the data center real estate market. The internet of things (IoT) devices refer to a network of interconnected devices, such as smartphones, sensors, wearables, smart home devices, and security cameras, that communicate and exchange data over the internet without human intervention. The need for internet of things (IoT) connected devices is increasing due to the need for real-time data, as they enhance efficiency, enable remote monitoring, and support smarter decision-making across industries. Data center real estate enhances internet of things (IoT) device adoption by providing the physical infrastructure needed to store, process, and manage massive IoT-generated data. It ensures low-latency connectivity, scalability, and reliable support for widespread IoT deployments. For instance, in September 2024, according to IoT Analytics, a Germany-based research firm focused on IoT market insights, the number of connected IoT devices reached 16.6 billion in 2023, reflecting a 15% increase from 14.4 billion in 2022. Therefore, the rising adoption of internet of things (IoT) devices is driving the growth of the data center real estate industry.

Key Players In The Global Data Center Real Estate Market

Major companies operating in the data center real estate market are Equinix Inc., Iron Mountain Incorporated, Digital Realty Trust Inc., GDS Holdings Limited, Global Switch Limited, Sify Technologies Limited, NTT Global Data Centers, CtrlS Datacenters Ltd., Vantage Data Centers LLC, 11:11 Systems Inc., STACK Infrastructure Inc., EdgeConneX Inc., Flexential Corp., DataBank Holdings Ltd., STT GDC Pte. Ltd., Digital Edge DC Pte. Ltd., Colt Data Centre Services (Colt DCS), DATA4 Group S.A., Keppel Data Centres Holding Pte. Ltd., NorthC Group B.V., Kao Data Ltd.

Global Data Center Real Estate Market Trends and Insights

Major companies operating in the data center real estate market are focusing on developing advanced infrastructure, such as multi-campus interconnected hubs, to boost efficiency, enhance reliability, and reduce latency for enterprises. Multi-campus interconnected hubs refer to a network strategy where multiple data centers in strategic locations are seamlessly linked to form a unified ecosystem, enabling high-speed data exchange and operational resilience. For instance, in September 2025, Equinix, a US-based digital infrastructure company, launched its first International Business Exchange (IBX) data center, CN1, in Chennai, India. The facility is a high-performance data center that will be directly connected to the company’s existing multi-data center campus in Mumbai. This interconnection creates a powerful, integrated hub that extends a highly interconnected ecosystem for cloud, carrier, content, and enterprise customers from Mumbai to the Tamil Nadu region. It incorporates a phased investment approach, with an initial $69 million phase delivering 800 cabinets, and is designed for future scalability to support 4,250 cabinets, ensuring it can grow alongside India's digitalization journey while maintaining a focus on sustainability.

What Are Latest Mergers And Acquisitions In The Data Center Real Estate Market?

In July 2024, Keppel DC REIT, a Singapore-based data center real estate investment trust, acquired Tokyo Data Centre 1 for JPY 23.4 billion ($145 million). With this acquisition, Keppel DC REIT aims to expand its geographic presence in Japan and strengthen its data center portfolio by adding a high-quality, shell-and-core hyperscale facility with a long-term master lease, enhancing recurring income, diversifying tenant risk, and supporting long-term portfolio growth. Tokyo Data Centre 1 is a Japan-based purpose-built data center property serving as a data center real estate asset leased to enterprise and hyperscale tenants.

Regional Insights

North America was the largest region in the data center real estate market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in this market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in this market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

What Defines the Data Center Real Estate Market?

The data center real estate market includes revenues earned by entities through leasing services, real estate consulting, infrastructure planning, site assessment, construction management, energy management services, and security services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

How is Market Value Defined and Measured?

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified). The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

What Key Data and Analysis Are Included in the Data Center Real Estate Market Report 2026?

The data center real estate market research report is one of a series of new reports from The Business Research Company that provides market statistics, including industry global market size, regional shares, competitors with the market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the data center real estate industry. The market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the industry.