These lots, usually a couple of acres of gravel or asphalt near highways, ports and other shipping infrastructure, are a niche part of the commercial real estate world called industrial outdoor storage, or IOS.

...

The new wave of investments has come as Wall Street races to profit from A.I. in whatever way it can. Financial giants like Blackstone have invested hundreds of billions not only in data centers but also the construction firms that build the centers and power plants that supply the electricity needed to run them.

Data centers have created “tremendous demand for IOS use, every bit as much as traditional infrastructure work like bridges, tunnels and roads,” said Leo Addimando, managing partner of Alterra.

An earlier wave of investment in the sector followed a boom in e-commerce, which requires huge spaces to park inventory, shipping containers and the vehicles used in last-mile delivery services. The large, outdoor spaces and proximity to major transportation nodes also make them a good solution for parking and storing large commercial trucks.

...

For investors in the sector, the appeal is clear: Since 2020, rents for IOS properties have jumped 123 percent, according to a report released last week by Newmark, a real estate brokerage. Industrial warehouses, by comparison, have seen rents rise 58 percent in the same period. Newmark expects data center construction to continue to spur the sector’s growing demand, it said in its report.

...

As demand continues to rise, owners of anything that resembles an industrial outdoor storage site have been hearing more from brokers, Mr. Hunsucker said. Small dealers and brokers have also been buying old truck stops and auto repair yards, which they can combine into bigger portfolios that appeal to investors seeking larger acquisitions, he added.