Prime Highlights
- PwC finds investors prioritising AI-ready assets, with properties lacking technology capabilities facing financing pressure.
- U.S. equity REITs entered 2026 at a median 16.2% discount to net asset value, spurring consolidation opportunities.
Key Facts
- PwC is a global professional services and advisory firm.
- Private credit funds and pension investors are filling the financing gap left by traditional banks.
Background
PwC’s midyear outlook shows how artificial intelligence, digital infrastructure and private credit are transforming the way real estate is investing in real estate in the U.S. in 2026, outside the scope of the average cyclical recovery period.
PwC’s Real Estate and Real Assets: U.S. Deals 2026 Midyear Outlook says capital is flowing away from traditional property businesses into infrastructure or operations-based assets with long-term demand drivers. The most popular targets for investors are data centers, logistics centers, senior living centers, renewable energy power generation, student housing, and residential rental platforms.
Increased consideration of acquisitions as integrated operating and infrastructure platforms, with technology, scalability and access to capital being a major part of valuations. Buyers and lenders are increasingly looking for the property to be AI-ready, with a focus on data architecture, workflow automation and operational reporting. The valuation premiums are now being justified for assets that have a scalable operating model and dynamic pricing, and those that do not have a clear roadmap for technology are subject to extended due diligence periods and fewer financing options.
As demand for AI computing power increases, power availability has become one of the key considerations for data center developers and has directly influenced the development of certain projects and asset pricing.
There are also changes in financing. Private credit funds, insurance companies, and pension investors are filling the void of traditional banks, which are being circumspect lenders. Those with pre-arranged financing packages are getting the edge on buyers.
There was also a revival of public-to-private transactions in REITs with the U.S. Equity REITs trading at an average discount of 16.2% to their Net Asset Values in 2026. More transactions should occur in the back half of 2026, especially in areas where the business of operations is the driver, said Tim Bodner, PwC’s U.S. Real Estate Deals Leader.
