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    Home»Property»From Cloud to Concrete: How Explosive Data Center Demand is Redefining Commercial Real Estate
    Property

    From Cloud to Concrete: How Explosive Data Center Demand is Redefining Commercial Real Estate

    August 25, 20252 Mins Read


    The world will generate 181 ZB of data in 2025, an increase of 23.13% year over year and 2.5 quintillion bytes (a quintillion byte is also called an exabyte, EB) created daily, according to a report from Demandsage. To put that in perspective: One exabyte is equal to 1 quintillion bytes, which is 1,000,000,000,000,000,000 bytes. That’s 29 TB every second, or 2.5 million TB per day. It’s no wonder data centers have become so crucial for creating, consuming, and storing data — and no wonder investor interest has skyrocketed. 

    The surging demand for secure, scalable, high-performance retail and wholesale colocation and hyperscale data centers is spurred by the relentless, global expansion of cloud computing and demand for AI as data generation from businesses, governments, and consumers continues to surge. Power access, sustainable infrastructure, and land acquisition have become critical factors shaping where and how data center facilities are built. 

    As a result, investors increasingly view these facilities not just as technology assets, but as a unique convergence of real estate, utility infrastructure, and mission-critical systems. Capitalizing on this momentum, private equity and real estate investment firms are rapidly expanding into the sector through acquisitions, joint ventures, and new funds—targeting opportunities to build and operate facilities with a focus on energy efficiency and scalability.



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