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Commercial Property Values Up With Fiber

March 17, 2019

We were delighted to learn this week of a recent CoStar study pointing to an increase in property value when a commercial building has fiber connectivity.

 

The study, that was mentioned at a recent Building Owners and Managers Association (BOMA) meeting in White Plains, New York, compared data from buildings that had fiber connectivity with those with out. The CoStar team reports a 7% increase in property value among commercial buildings with fiber connectivity. Fiber networks have the speed, capacity, and reliability  to run next-generation gigabit-speed internet service, VOIP, and other modern data-intensive services. The networks also serve as the backbone to build forthcoming 5G networks and in-building wireless broadband.

 

But some industry experts caution that the 7% figure may be a little high. On the residential side, studies have shown that home values typically increase 3-8% with fiber connectivity and landlords see a 9% uptick in rental income. 

 

Regardless, we're happy to see the market responding positively to fiber infrastructure. 

 

 

 

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