Asian investors embrace data centers to ride out property slump
February 06, 2019 / MICHELLE CHAN
Asian real estate investors are turning to rapidly expanding data centers as alternative investments amid a region-wide property slump. Nearly half of property investors in the Asia-Pacific region are active or plan to be active in data centers this year, according to a recent real estate industry survey by U.S. think tank Urban Land Institute and PwC. They are now more bullish about their prospects than other niche property types, such as shared offices and student housing, according to the survey. Data storage businesses around the world are expanding, fueled by the growth of cloud services, e-commerce and video streaming. The hottest market is in Asia, where Canada-based Structure Research predicts co-location revenue will surpass that of North America by 2020.