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Introduction
Data centers have become one of Pennsylvania’s most debated development issues.
Supporters mention private investment, construction activity, tax revenue, and new technology infrastructure. Opponents raise concerns about electricity costs, water use, noise, environmental effects, and nearby property values.
But what does the data actually show?
I recently attended a Pennsylvania Association of REALTORS® webinar featuring Nadia Evangelou and Matt Christopherson of the National Association of REALTORS®. Their research examined where data centers are located, what those housing markets look like, and what REALTORS® are hearing from clients.
The central conclusion was clear:
There is no single data center effect.
What Did NAR Find About Data Centers?
Counties with more data centers generally have:
- Higher household incomes
- Younger populations
- More residents with college degrees
- Higher home values
- Stronger long-term employment growth
However, this does not prove that data centers created those conditions.
Developers may simply be selecting growing markets that already have strong economies and the infrastructure data centers need, including land, electricity, public water, and high-speed fiber.
NAR found no evidence that counties with numerous data centers have broadly weaker housing markets. However, county-level data cannot predict what will happen to one specific house near one specific facility. [nar.realtor], [nar.realtor], [nar.realtor]
Data Centers Are Highly Concentrated
NAR identified 1,474 mapped data centers across 47 states and 251 counties.
Despite their growing visibility, data centers remain concentrated in a small number of locations:
- 92% of U.S. counties have no mapped data centers
- 5% have one or two
- 2% have three to nine
- Only 1% have ten or more
Northern Virginia remains the country’s largest data-center market. Other major concentrations include Silicon Valley, central Ohio, the Phoenix area, and central Washington. [nar.realtor], [nar.realtor]
These markets differ significantly in housing costs, income, employment, and population growth. That makes broad national predictions difficult.
Who Lives in Data Center Counties?
NAR divided counties into four categories: none, low concentration, medium concentration, and high concentration.
As data-center concentration increased:
- Median household income rose from approximately $64,100 to $88,700
- Median age declined from 41.9 to 37.5
- Bachelor’s degree attainment increased from 21.7% to 41.2%
This does not mean data centers made residents younger, wealthier, or more educated.
A more reasonable explanation is that data centers are attracted to markets that already support technology, business investment, infrastructure development, and population growth.
What Did the Housing Data Show?
Counties with more data centers generally had stronger housing numbers.
The median home value was approximately:
- $174,500 in counties without mapped data centers
- $431,750 in counties with ten or more
Over the previous decade, home values increased approximately:
- 64.2% in counties without data centers
- 95% in counties with ten or more
These findings do not support the blanket claim that data centers have weakened the housing markets where they are concentrated.
They also do not prove that data centers increased home values.
Many of the largest data-center counties were already high-income technology and employment centers before their recent facility growth. NAR repeatedly cautioned that correlation is not causation. [nar.realtor], [nar.realtor], [nar.realtor]
What Did the Employment Data Show?
Long-term employment growth also increased with data-center concentration.
Between 2014 and 2024:
- Counties without data centers experienced approximately 1.9% growth
- Counties with ten or more experienced approximately 15.6% growth
Recent employment growth has been much weaker across nearly every category. From 2024 through 2026, only the highest-concentration counties remained slightly positive.
Data-center construction can create demand for electrical work, site preparation, engineering, HVAC, utility construction, equipment installation, and other skilled trades. Once a facility is operating, however, permanent staffing is usually smaller than the construction workforce.
Once again, the data shows a relationship between data-center concentration and strong employment markets. It does not prove that the facilities caused all of the observed job growth.
Why Is the Electricity Story Complicated?
NAR found no simple nationwide relationship between data centers and residential electricity prices.
In 2024, counties with ten or more data centers had an average residential rate of approximately 13.9 cents per kilowatt-hour, compared with 14.1 cents in counties without data centers.
However, electricity rates increased faster from 2020 through 2024 in many counties with data centers.
Electricity prices are influenced by more than facility count. Other factors include:
- State utility regulation
- Power-generation costs
- Transmission capacity
- Distribution upgrades
- Regional energy markets
- Existing electricity demand
The data does not support either extreme claim that data centers always raise rates or never affect them. Local power requirements, infrastructure costs, and utility agreements still matter.
What Did REALTORS® Report?
County statistics measure market conditions. NAR’s survey measured professional perceptions.
The May 2026 survey included 2,357 REALTORS®. Thirty-eight percent reported working in an area where a data center existed or was being developed.
Residential perceptions were mixed:
- 25% reported a positive effect on nearby home values
- 22% reported a negative effect
- About one-third were uncertain
For residential demand:
- 19% reported an increase
- 26% reported a decrease
- 27% reported no change
Commercial perceptions were more positive. Industrial property received the greatest reported interest, followed by land and multifamily property. [nar.realtor], [nar.realtor]
These are professional observations, not controlled sales studies. They help explain how buyers and markets may react, but they do not independently prove changes in value.
Why Can Data and Public Perception Differ?
A county can have a strong housing market while individual buyers remain concerned about a nearby facility.
Common concerns include:
- Electricity costs
- Water consumption
- Noise and backup generators
- Environmental effects
- Transmission lines
- Changes to the surrounding landscape
- Property values
- Community character
A strong countywide market does not guarantee that every property beside every data center will perform the same way.
At the same time, public opposition does not prove that a measurable loss in value has already occurred.
Both the measured data and the individual property need to be considered.
What Is Happening in Pennsylvania?
NAR’s February 2026 data identified nine mapped facilities in Pennsylvania, located in Montgomery, Lehigh, Philadelphia, and Allegheny counties. Two more facilities were added by June.
Pennsylvania’s existing facilities were relatively small compared with the large campuses associated with Northern Virginia.
The research projected approximately 7 to 56 new Pennsylvania sites by 2035, depending on how quickly demand grows. Meanwhile, approximately 135 projects had reportedly been announced by August 2026.
Those numbers are not interchangeable.
An announced proposal may never become:
- A submitted development plan
- A permitted facility
- A financed project
- A construction site
- An operating data center
Developers may announce numerous possible locations while evaluating which sites are actually practical.
What Makes a Property Attractive to Developers?
Data-center developers generally need four things:
- Land
- Power
- Water
- Fiber connectivity
A strong candidate may also be:
- Near an electrical substation
- Near public water
- Close to high-speed fiber
- Relatively flat
- Outside wetlands and flood zones
- Away from protected land
- Near existing industrial development
These requirements help explain why data centers often locate in economically strong areas.
Developers are generally following infrastructure, not intentionally choosing communities because residents have higher incomes or education levels.
What Should Buyers and Homeowners Consider?
National and county data can provide context, but local conditions matter more when evaluating a specific property.
Buyers and homeowners should consider:
- Distance from the proposed site
- Visibility from the property
- Noise and generator locations
- Transmission lines and substations
- Landscaping and buffering
- Surrounding zoning
- Recent comparable sales
- Days on market
- Local buyer demand
- The scale and type of facility proposed
NAR recommends putting concerns into context, reviewing the individual property, using local market data, and asking questions about power, water, roads, zoning, and nearby infrastructure. [nar.realtor]
What Does This Mean for Berks County?
Berks County was not included among Pennsylvania’s established data-center counties in NAR’s February 2026 dataset.
However, the proposed Titus campus in Cumru Township represents the much larger type of AI development now being considered across Pennsylvania.
Residents should not assume that results from Montgomery County, Northern Virginia, or Silicon Valley will automatically apply here.
The proposed project should be evaluated using its actual site plan, electricity arrangements, cooling system, water requirements, noise controls, infrastructure, and proximity to nearby properties.
My Takeaway
NAR’s research does not show that data centers automatically damage housing markets.
It also does not show that they automatically create higher values, stronger employment, or greater prosperity.
Data centers appear to favor markets that already offer infrastructure, economic strength, and development potential.
For homeowners and buyers, the most useful evidence will usually be local: the exact project, the individual property, nearby sales, zoning, infrastructure, and buyer behavior.
Frequently Asked Questions
Do data centers lower home values?
Not consistently, according to NAR’s county-level research. However, individual properties may respond differently depending on distance, noise, visibility, infrastructure, and local buyer perceptions.
Do data centers increase home values?
The research does not prove that they do. Higher values in data-center counties may reflect preexisting economic strength and housing demand.
Why do data centers choose wealthier counties?
Developers primarily seek land, electricity, water, fiber, and infrastructure. Markets offering those resources are often already growing economically.
How many mapped data centers did Pennsylvania have?
NAR identified nine mapped Pennsylvania facilities in February 2026, with two additional facilities added by June.
What should buyers consider near a proposed facility?
Consider distance, visibility, noise, transmission infrastructure, zoning, surrounding land use, recent sales, and actual plans for the proposed site.
Following Data-Center Development in Pennsylvania
If you are considering buying, selling, or investing in Berks County, I would be happy to help you understand the local real estate market and identify public information relevant to a specific property.
Contact Ben Perfetto, REALTOR® with Coldwell Banker Realty, to discuss your real estate goals.
