Catenaa, Friday, October 17, 2025- A surge in global data demand is transforming commercial real estate as developers and investors pivot to powered land and quantum-ready sites, executives say.
These properties, prepped with power infrastructure and permits, are poised to support the rapid growth of data centers and AI-driven operations over the next five years.
David Steinbach, global chief investment officer at Hines, said that while traditional construction remains important, securing megawatts of reliable power is now the critical challenge.
Hines has spent decades in data center development and is now focused on mapping grids, negotiating with landowners, and ensuring AI-ready sites before buildings rise.
The company identifies powered land as a scarce, investable asset, attracting attention from hyperscalers and energy operators.
Currently, around 20,000 acres of powered land exist globally, but research by Hines projects nearly 40,000 acres will be required to meet data center growth over the next five years, equivalent to almost three Manhattans.
High-growth regions in the US, Canada, and the UK, as well as Europe and the Middle East, are seen as prime targets for development due to emerging power constraints and rising AI infrastructure needs.
Private equity and infrastructure firms are responding to this trend. Silver Lake, along with Commonwealth Asset Management, recently launched a $400 million powered land platform to assemble globally strategic sites for hyperscalers.
Executives say the initiative positions them as leaders in digital infrastructure, offering holistic solutions for AI-driven growth.
Steinbach emphasized that this shift is reshaping the real estate business, noting that power access, entitlements, and strategic site planning now define the next generation of commercial development.
Global data demand fuels powered land investment, turning power-ready sites into strategic assets for AI-driven data center growth worldwide.
