By 2025, approximately 40% of corporate IT expenditure is anticipated to be directed towards AI-related projects, with IDC projecting an astonishing annual investment of US$500 billion in AI products by 2027. This substantial investment will be felt acutely in the real estate sector, driving a surge in demand for specific property categories. There will be a sizeable increase in demand for data centres, especially as proximity to cost-effective energy sources becomes increasingly critical. Expect a heightened need for specialised office spaces tailored to accommodate collaborative research and laboratory requirements. The rising demand for research facilities, pivotal to the development of AI-related hardware and software, will likely favour industrial real estate located near universities or established technology hubs. Moreover, the integration of AI-driven building management systems will elevate service standards in energy efficiency, climate control and security. This enhancement will further distinguish top-tier office buildings from others in the market, enhancing their appeal to tenants and investors.
Real Estate Investments
