How Bhubaneswar's Data Centre Surge Is Redefining Commercial Real Estate
Bhubaneswar’s swift transformation into a digital infrastructure hub is causing major shifts in commercial real estate dynamics. This article explores how rising data centre demands are changing property needs, investment trends, and regional economic paths.
Massive Investment Fuels Growing Property Demand
Hefty Financial Commitments CtrlS Datacenters’ recent announcement to invest over ₹150 crore ($18.1 million) in Odisha shows the region’s growing importance as a digital corridor. The Bhubaneswar 1 facility alone is a 5MW capacity pilot project, with plans to expand into a 10-acre hyperscale campus over the next decade. Such infrastructure investments are driving demand for:
- Custom-built data centers with specialized cooling systems
- Edge computing hubs close to population centers
- Leased spaces for AI/ML infrastructure
Green Tech Drives Property Evolution
The push for sustainability is a key factor in modern data centre builds:
| Requirement | Implementation Example | Source |
|---|---|---|
| Energy Efficiency | Liquid cooling systems reducing power consumption | |
| Carbon Neutrality | Solar farms co-located with data facilities | |
| Material Use | Recycled copper in building infrastructure |
As the demand for eco-friendly properties increases, developers are focusing on energy-efficient designs and the integration of renewable power.
AI/ML Infrastructure Redefines Space Needs
The integration of artificial intelligence and machine learning into data centres creates specialised property requirements:
- High-power racks tailored for GPU-heavy workloads
- Redundant fiber networks for low-latency connectivity
- Modular infrastructure allowing rapid capacity scaling
This technological evolution is compelling commercial landlords to create adaptable spaces that can support evolving computational needs.
Regional Economic Implications
The data centre boom aligns with Odisha’s industrial strengths:
- Core Sector Synergies - Chemical plants, mining operations, and ports requiring robust data solutions
- Special Economic Zones - IT-focused SEZs accelerating infrastructure development
- Job Creation Multiplier - Direct employment in tech operations and indirect opportunities in construction/support services
These economic interdependencies are creating new commercial hotspots beyond traditional city centres, with peri-urban areas becoming prime targets for large-scale digital infrastructure campuses.
The Road Ahead
Near-Term Predictions:
- Increased competition for land near high-capacity power grids
- Rising demand for hybrid office-ware data centre spaces
- Growth of sustainability-focused property developers
Long-Term Outlook:
- Development of regional data lake architectures
- Integration with smart city initiatives
- Emergence of specialised real estate investment vehicles targeting digital infrastructure