The rapid expansion of AI, streaming services, remote work and cloud platforms has led to a rise in the need for data processing and storage capacity. In Spain and Portugal, this demand is driving massive investments in data centres. The increasing digitalization of businesses and growing reliance on online services are key factors contributing to this trend.
Real estate investors view data centres as a high-growth, stable-income asset class. In the Iberian market, data centres often secure long-term leases with tech giants like Amazon, Microsoft and Google, offering predictable returns. But beyond these global players, the regional landscape is also being shaped by major operators with strong local footprints. In Portugal, companies such as Portugal Telecom (Altice), Equinix, Start Campus (in Sines), NOS and Quetta Data Centres (linked to AZORA) are leading the development of new infrastructures, with Lisbon concentrating about 70% of the country's future capacity. In Spain, operators such as Equinix, AtlasEdge and Colt are in full expansion, with Madrid and Barcelona emerging as strategic hubs for colocation and hyperscale.
One of TMF Group’s clients – the US private investment firm Bain Capital – has launched its EMEA hyperscale data centre platform ‘hscale’ by acquiring an 80% stake in AQ Compute, which is now part of hscale. Bain currently has more than 100MW of data centre projects under construction, including projects in Barcelona, Milan and Norway, and features a pipeline of approximately 1GW, including in Frankfurt, London and Zaragoza.
This growing demand for data centres is driving a profound transformation in the Iberian Peninsula’s real estate market. The appreciation of land with access to energy and connectivity, the conversion of obsolete industrial assets and the pressure on urban infrastructures are just some of the visible consequences. Additionally, the competition for sustainable energy resources and the need for more robust public policies to ensure a balance between digital growth and environmental responsibility are becoming increasingly urgent. How Spain and Portugal manage to align investment, urban planning and sustainability will determine not only the success of this sector but also the impact it will have on local communities and the broader economic fabric.
Together, technology, sustainability and strategic investment are creating a dynamic and promising future for the Iberian Peninsula. The challenge will be to ensure that this growth is inclusive, sustainable and aligned with long-term urban and environmental planning. It’s exciting to see how these developments will not only shape the market—but also the communities and ecosystems around them—in the years to come.
As the digital economy cements its physical footprint, those who understand the value of data won’t just be shaping the market, they will be shaping the future.