AI Infrastructure Boom Drives Industrial Leasing Demand Beyond Data Centers, Cushman & Wakefield Finds
Cushman & Wakefield has released new research showing that the rapid expansion of AI infrastructure is significantly increasing industrial real estate demand beyond data center facilities themselves. The report, "From Megawatts to Multipliers," highlights the economic multiplier effect from supporting industries like manufacturers and contractors, contributing to jobs and local revenue across major US markets.
Cushman & Wakefield, a global commercial real estate services firm, has published new research titled "From Megawatts to Multipliers: The Data Center Effect on Industrial Demand, Jobs and Local Revenue." The report reveals that the rapid expansion of artificial intelligence infrastructure is generating substantial industrial real estate demand that extends beyond the data center facilities themselves.
The study analyzed over 388 million square feet of industrial leasing across six major U.S. data center markets from 2022 to 2025. It found that companies within the data center ecosystem accounted for 10.4% of new industrial leasing during this period, with that share increasing to a record 14.4% in 2025 as AI investment accelerated. Cameron Martin, Global Research Manager, noted the significant economic story unfolding, creating demand for an ecosystem of manufacturers, contractors, suppliers, and service providers that lease industrial space, hire workers, and contribute to local economies.
The research estimates that industrial leasing linked to the data center ecosystem supported between 33,000 and 50,000 initial industrial jobs across the six markets, with each direct job generating an additional 2.5 jobs through supply-chain activity and household spending, totaling 81,000 to 124,000 jobs and approximately $11.6 billion in annual gross economic output. John McWilliams, Head of Data Center Insights, emphasized the need to look beyond the buildings themselves to understand the broader industrial ecosystem and its increasingly meaningful multiplier effects for communities.
The six markets covered in the study include Atlanta, Austin/San Antonio, Chicago, Dallas, Phoenix, and Virginia, which collectively have about 19.6 gigawatts of operational data center capacity and another 11.8 gigawatts under construction. Dallas showed the strongest concentration, with data center ecosystem companies representing 22% of new industrial leasing in 2025.