Early-Stage Opportunities to Create Value through Power-Ready, Entitled, and Scalable Sites

In the global race to build digital infrastructure, one truth is clear: land is the foundation of the digital economy. Every hyperscale campus, colocation facility, and edge network begins with a parcel of strategically positioned, power-secure land. Investing early—before full entitlement and development—offers investors the ability to capture the highest potential returns while shaping the future of digital capacity.

Greenfield developments, often referred to as power land or entitled digital real estate, represent the earliest and most lucrative phase in the data center value chain. These sites are where location strategy, grid connectivity, and entitlement expertise intersect to create institutional-grade investment opportunities.

Data Center Invest partners with investors to identify and develop these high-potential assets globally. Our platform combines expertise from Data Center Real Estate and Data Center Energy to evaluate every variable—from power infrastructure and fiber routes to zoning, permitting, and scalability—ensuring each parcel evolves into a fully bankable digital campus site.

For institutional investors, these projects offer a blend of development upside, strategic optionality, and portfolio diversification, all within an asset class that underpins the entire digital ecosystem.

The Investment Case: Building the Digital World from the Ground Up

Greenfield investments allow capital to participate at the most formative stage of digital infrastructure creation. By securing land and infrastructure rights before full development, investors unlock opportunities that combine tangible asset value with scalability potential.

Key Value Drivers

  1. Land Appreciation: Strategic parcels near power, fiber, and major metros rapidly appreciate as demand for data capacity rises.

  2. Entitlement Upside: Converting raw land into power-entitled sites creates value multipliers, often exceeding 2-4x once zoning and permits are secured.

  3. Low Entry Costs: Early-stage investment offers lower acquisition pricing compared to stabilized income assets, maximizing long-term yield.

  4. Strategic Optionality: Investors can hold, sell, or co-develop depending on market timing and capital objectives.

  5. Synergy with Digital Growth: Every hyperscale or colocation expansion depends on ready-to-build sites, ensuring continuous demand for entitled land.

In many mature markets, land scarcity near power and fiber corridors has turned development-ready parcels into high-demand strategic assets. This scarcity drives competitive acquisition among hyperscalers, REITs, and operators—creating exit opportunities for early investors at substantial premiums.

By participating in this phase, institutional investors capture alpha before cash flow, positioning themselves upstream in the infrastructure value chain.

Types of Greenfield Investments: Raw, Power-Ready, and Fully Entitled Land

The greenfield landscape spans multiple development stages—each with its own risk, return, and timeline characteristics. Understanding these tiers allows investors to align capital with their desired balance of control and stability.

1. Raw Land Acquisition

Raw land represents the earliest entry point. These sites are typically outside major urban cores but near essential infrastructure—such as transmission lines, substations, or fiber routes.

  • Risk / Reward Profile: High potential upside with longer entitlement horizons.

  • Value Creation: Investors benefit from zoning approvals, grid interconnection studies, and early infrastructure planning.

  • Exit Strategy: Sell post-entitlement to developers or retain equity through joint ventures.

Raw land allows investors to influence regional data infrastructure expansion from inception, benefiting from the exponential rise in location premiums once permits are secured.

2. Power-Ready Land (Pre-Entitled or Near Grid Connection)

Power-ready land bridges the gap between raw acquisition and shovel-ready development. These sites often have secured transmission access, feasibility studies, or utility agreements in place.

  • Speed to Market: Shorter lead times make these assets highly attractive to hyperscalers and colocation operators.

  • Investor Benefit: Moderate risk with faster turnover and higher liquidity.

  • Typical Returns: Annualized IRR between 12-18%, driven by incremental entitlement milestones.

Power-ready sites are the "sweet spot" for investors seeking predictable timelines with strong appreciation potential.

3. Fully Entitled / Shovel-Ready Land

These parcels have completed the entitlement process—environmental, zoning, and power approvals secured—and are ready for construction or sale.

  • Market Demand: Immediate buyers include global operators, REITs, and institutional developers.

  • Revenue Pathways: Sale, lease, or co-development generate attractive blended returns.

  • Stability: Reduced regulatory and permitting risk makes these assets suitable for conservative capital.

As data center construction cycles accelerate, shovel-ready land has become a scarce premium asset, offering investors liquidity and exit certainty in a high-demand sector.

Market Dynamics: Global Demand for Power-Entitled Land

The worldwide expansion of data and computing is driving unprecedented demand for energy-secure development land. According to global forecasts, more than 40 GW of new data center capacity will require power-entitled land over the next decade—a volume that far exceeds current supply.

Key Demand Drivers

  1. AI and Hyperscale Expansion: Each hyperscale region demands hundreds of acres of land near substations capable of delivering 100-500 MW.

  2. Colocation and Edge Growth: Multi-tenant and edge developers seek smaller, distributed parcels near metro regions and network hubs.

  3. Energy Constraints: In regions like Northern Virginia, Dublin, and Singapore, power scarcity has made pre-approved sites the most valuable real estate in digital infrastructure.

  4. Decentralization Trends: As emerging markets like Chile, India, and Poland adopt data localization laws, new clusters require fresh land development.

Regional Market Landscape

  • North America: Power-ready land in Texas, Arizona, and Ohio offers exceptional scalability and renewable access.

  • Europe: Expansion zones around Madrid, Berlin, and Warsaw attract institutional buyers seeking alternative to saturated FLAP markets.

  • Latin America: São Paulo, Santiago, and Querétaro are fast-growing data center corridors with active greenfield transactions.

  • Asia-Pacific: Sydney, Mumbai, and Johor Bahru lead the region's entitlement surge, supported by hyperscaler entry and government incentives.

Across all markets, the intersection of land, power, and connectivity defines value. Parcels combining these three features command the highest premiums and fastest exits—especially when positioned near grid infrastructure or renewable generation assets.

Investment Profile: Value Creation, Optionality, and Scalability

Greenfield land investment is about building value before revenue. It allows investors to participate in the infrastructure buildout cycle early—where returns are driven by development milestones rather than tenant occupancy.

Core Investment Attributes

  • Capital Efficiency: Lower acquisition cost per MW compared to built assets.

  • Appreciation Potential: Entitlement and grid access multiply land value by 2-5x.

  • Diversification: Geographic spread across multiple regions mitigates risk while enabling portfolio rotation.

  • Exit Flexibility: Hold for development, joint venture with operators, or sell to strategic buyers.

  • ESG & Impact Alignment: Transforming land into renewable, power-enabled sites contributes directly to sustainable infrastructure growth.

Return Profile

Average annualized returns range from 15-20% for early-stage power land development, with shorter timelines once utility agreements are secured. Investors benefit from a stacked return model—combining appreciation, milestone-based revaluation, and potential co-development equity upon exit.

By participating in greenfield projects, investors not only achieve high financial returns but also strategically position their capital at the starting point of the digital infrastructure supply chain.

Development Fundamentals: Power, Zoning, and Connectivity

The success of a greenfield investment depends on mastering three interlinked variables: power, land use, and fiber access.

Power Availability

Power remains the most critical determinant of land value. Parcels located near substations, transmission lines, or renewable corridors provide immediate advantages. Data Center Invest and Data Center Energy evaluate grid interconnection capacity, load forecasting, and PPA potential to ensure each project aligns with future energy security.

Zoning and Entitlement

Navigating local land use, environmental, and permitting frameworks is complex but value-defining. Our teams work with regional authorities and consultants to obtain data center-friendly zoning and accelerate approval timelines. Investors capture substantial appreciation during these phases—often the largest single jump in asset value.

Fiber and Connectivity

Access to carrier networks and dark fiber routes enhances marketability. Parcels within proximity to major IXPs (Internet Exchange Points) or interconnection hubs can command premiums of up to 25-40% compared to isolated sites.

Through proprietary mapping tools, Data Center Invest identifies parcels that balance power proximity, regulatory readiness, and fiber connectivity, creating a framework for scalable, high-demand digital infrastructure development.

Pathways to Investment

Greenfield investments accommodate multiple structures depending on capital profile and development appetite.

  • Direct Acquisition: Purchase and hold pre-entitled or power-ready sites for appreciation and future disposition.

  • Joint Development Partnerships: Collaborate with experienced developers or hyperscale operators to convert land into operational facilities.

  • Land Banking Strategies: Aggregate parcels in emerging regions for medium-term sale as data clusters expand.

  • Structured Funds or SPVs: Participate in diversified land and power portfolios managed with institutional governance and ESG oversight.

  • Co-Investment Models: Partner with Data Center Real Estate and Data Center Energy for integrated land-to-power-to-asset strategies.

Each approach offers a balance between control, liquidity, and upside potential. Data Center Invest supports investors across sourcing, entitlement, valuation, and exit execution—ensuring that every project achieves both financial and strategic alignment.

Strategic Outlook: Land as the Core of the Digital Value Chain

As the global economy becomes increasingly digital, land is emerging as a strategic infrastructure asset, not merely a real estate holding. The next decade will see record development of data centers, renewable power hubs, and telecom interconnection facilities—all competing for entitled, energy-accessible land.

Institutional investors who act early can secure positions in these critical supply chains, benefiting from appreciation, co-development, and liquidity events as operators seek ready-to-build parcels.

Greenfield development today is analogous to acquiring rail corridors during the industrial revolution or fiber routes during the internet boom—it is the ground floor of the next global infrastructure cycle.

By combining development expertise, ESG principles, and long-term perspective, Data Center Invest enables investors to transform land into a gateway for digital growth—capturing both financial value and strategic relevance in a rapidly expanding sector.

Secure Your Position in the Next Generation of Digital Infrastructure. Power-ready land is limited, but demand is accelerating. Data Center Invest helps institutional and private investors acquire, entitle, and scale strategic Greenfield sites before the next wave of hyperscale and AI expansion hits.

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Joel St. Germain
Joel St. Germain
CEO, Data Center Invest