Quantum Computing: The Emerging Force Shaping Commercial Real Estate
Quantum computing, once the preserve of academic and government laboratories, is rapidly advancing toward commercial viability—bringing with it a wave of opportunities that could profoundly transform the commercial real estate (CRE) landscape. Much like artificial intelligence fueled a surge in demand for data centers, quantum computing is poised to become a significant real estate catalyst over the next decade.
Why Quantum Computing Demands New Real Estate Solutions
Unlike traditional computers, quantum computers exploit principles of quantum mechanics to tackle problems unsolvable by classical machines. While practical, widespread applications have only just begun emerging, companies such as Microsoft, IBM, Google, and Amazon are investing heavily to push quantum technology into the commercial arena.
“There’s an inflection point approaching where quantum computing moves from experimental to commercially useful, and that will require dedicated real estate infrastructure,” explains Andrew Batson, head of data center research at JLL. Industry analysts predict this transition could occur within the next five years, catalyzing a spike in specialized facilities akin to the AI-driven data center boom.
From Funding to Facilities: The Quantum Computing Growth Trajectory
Though quantum computing companies generated less than $750 million in revenue in 2024, the sector attracted nearly $2 billion in startup funding—signaling growing investor confidence. JLL’s report forecasts investments hitting $20 billion by 2030 and revenues soaring to $100 billion by 2035. A breakthrough in “quantum advantage” within the next decade could even spark an investment surge comparable to the ChatGPT-led influx seen in AI funding.
Practical Applications and Industry Impact
The potential commercial applications of quantum computing span numerous critical sectors:
- Pharmaceuticals: Accelerating drug discovery by simulating molecular interactions with unprecedented precision.
- Agriculture: Enhancing genetic research and crop optimization under complex environmental variables.
- Materials Science and Manufacturing: Revolutionizing the design of new materials with improved properties.
- Financial Services: Enabling advanced encryption and risk modeling, though also presenting cybersecurity challenges.
“Quantum computing portends both remarkable opportunities and significant risks, especially around data security,” Batson notes, underscoring the delicate balance stakeholders must navigate.
Locating Quantum’s New Real Estate Footprint
Currently, quantum computers are primarily housed within universities and governmental research institutions. For commercialization, the ecosystem demands proximity to academic talent, cutting-edge infrastructure, and robust public-private partnerships to foster innovation and skilled workforce availability.
Today’s top quantum hubs cluster near major research centers across the U.S., including:
- Chicago
- Boston
- New Haven, Connecticut
- Colorado and Maryland regions
- Southern California
For example, Chicago’s choice as the home for Silicon Valley’s PsiQuantum facility—anchored within the Illinois Quantum and Microelectronics Park—is a clear indication of the strategic value investors place on locations rich in technical talent and state support. This 128-acre development, equating to about 5.6 million square feet, is funded largely by the state, reflecting growing public sector commitment.
“Chicago exemplifies the rise of targeted private real estate projects around quantum computing,” Batson says, though he adds that nationwide, private commercial developments in this sector still constitute less than 20% of the market.
The Relationship Between Quantum Computing and Data Centers
One pivotal question in industry circles is whether emerging quantum technologies will disrupt existing data center infrastructures. The answer is nuanced. Quantum machines cannot simply be housed in traditional data centers due to their unique physical requirements, including the need for stringent electromagnetic shielding to prevent noise from vibrations or electromagnetic interference—disruptions that can undermine quantum computations.
“Quantum computing supplements rather than replaces existing data center ecosystems,” Batson clarifies. “We anticipate a mix of repurposed facilities and brand-new specialized builds tailored to quantum’s exacting needs.”
The future of quantum real estate may thus follow two paths: either staying clustered near current academic and research hubs or integrating more closely with cloud computing data centers to harness complementary strengths, such as enhanced AI-quantum hybrid processing capabilities.
“We’re currently in a phase of watching and learning to understand how the technology and market will evolve,” says Batson. “The coming years will define where quantum computing settles and what infrastructure it demands.”
Editor’s Note
Quantum computing’s imminent commercialization carries profound implications beyond the tech world—offering a fresh momentum for commercial real estate, regional economic development, and national competitiveness. Policymakers and investors alike should watch the critical nexus of technology, talent, and property to harness this emerging wave. Questions remain about how effectively public and private sectors will collaborate to support such capital-intensive infrastructure, and how swiftly quantum computing will move from promise to practical utility.
As quantum becomes reality, monitoring its effects on cybersecurity, workforce readiness, and real estate markets will be crucial for stakeholders seeking to anticipate and capitalize on this next technological frontier.
