One reason to consider buying real estate investment trusts (REITs) in 2026 is their high-yield dividends. However, there’s another reason that ties into the tech sector. That is, artificial intelligence will continue to create a massive demand for data centers.
Right now, according to MIT Technology Review, there are about 3,000 data centers across the U.S. Plus, according to a report from McKinsey, $5.2 trillion in AI infrastructure investments will be needed by 2030.
McKinsey's analysis also suggests that demand for AI-ready data center capacity will rise at an average rate of 33 percent a year between 2023 and 2030 (reflecting a trend that is already underway), as reported by BOMA International.
We also have to consider that AI demand isn't slowing, which increases the need for data centers.
Forecasts now place AI's value between $1.7 and $3.5 trillion by the early 2030s, with the most aggressive estimates topping $7 trillion by 2035. And judging by the surge in corporate investment, the market is moving toward the high end of those projections.
In addition, some of the largest tech companies are sending a clear message that the AI boom is far from over. Just look at recent capex spending.
- Google raised its 2025 capex outlook to $91–$93B
- Microsoft is increasing its spending 74% to $34.9B
- Meta nearly doubled capex to $19.37B, far above expectations
- Amazon projects $125B in 2025 capex, with more increases planned for 2026
For investors, these numbers are impossible to ignore. Even better, analysts at UBS expect global AI capex to hit $571B in 2026, with a runway to $3 trillion by 2030.
That being said, there are three interesting ways to invest in the data center boom and earn yield along the way.
REITs for Data Center Expansion: Digital Realty Trust
With a yield of about 3%, the Digital Realty Trust Inc. (NYSE: DLR) is a major data center provider that is heavily invested in AI infrastructure.
In its most recent quarter, funds from operations (FFO) of $1.89 beat by nine cents. Revenue of $1.58 billion, up 10.5% year over year, beat by $50 million. DLR also raised guidance for the year, now expecting FFO per share of $7.25 to $7.30, which is above its prior range of $7.10 to $7.20. Total revenue for the year is expected to range from $6.025 billion to $6.075 billion, from its prior outlook for $5.925 billion to $6.025 billion.
REITs for Data Center Expansion: Iron Mountain
With a yield of 4.1%, Iron Mountain Inc. (NYSE: IRM) has been actively expanding its data center business to meet the surging demand from artificial intelligence.
In its most recent quarter, its FFO of 93 cents beat by a penny. Revenue of $1.75 billion, up 12.2% year over year, was in line with estimates. It also just raised its dividend to $0.864 per share, payable on January 6 to shareholders of record as of December 15. IRM also noted that "Data center revenue growth in excess of 30% is expected in Q4, and more than 25% growth is anticipated for 2026," as noted by Seeking Alpha.
REITs for Data Center Expansion: Pacer Benchmark Data & Infrastructure Real Estate ETF
With an expense ratio of 0.49%, the Pacer Benchmark Data & Infrastructure Real Estate ETF (NYSEARCA: SRVR) offers exposure to companies that generate a significant amount of their revenue from real estate operations in the data and infrastructure sector. It also has a 30-day yield of 2.75%.
Some of its top holdings include Digital Realty Trust, Equinix, American Tower Corp., Crown Castle, and Iron Mountain, to name just a few. It also just paid a dividend of just over 12 cents per share on September 10. Before that, it paid out a dividend of just over 12 cents on June 11. Its next payout should be paid on January 5, 2026 to shareholders of record as of December 30.
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