The data centre industry’s demand for real estate space will be high over the next two years. India is expected to add 681 megawatt (MW) capacity by the end of 2024, leading to a doubling of capacity to 1,318 MW, which will need 7.8 million sq ft of real estate space.
As 2022 comes to an end, the supply is expected to exceed the 2021 levels by a healthy margin. The data centre industry is expected to close the year with a robust demand growth with estimated absorption in the range of 150-170 MW, which is due to the delivery of pre-committed supply to hyper scale cloud service providers (CSP).
Co-location (Colo) operators are scaling up construction to meet the delivery targets. Some operators adopted retrofitting existing buildings to reduce the time of delivery, according to a JLL India report called ‘The 2022 story: Indian real estate’s rise from the lows’.
