Real estate professionals are now navigating a world where AI data centers are expanding faster than zoning codes and buyers and sellers are emerging with questions that didn’t exist 10 months ago, let alone 10 years ago.
The city of Reno recently became the first municipality in Nevada to completely suspend new data center applications while it develops regulations. The decision came after the City Council heard six hours of testimony and received 176 written comments, many asking for slower speeds.
Less than a week later, Gov. Joe Lombardo offered his support at a groundbreaking ceremony for a multibillion-dollar, 2 million-square-foot data center project located near the Reno-Tahoe Industrial Center, less than 10 miles from Reno.
So what should real estate professionals know about data centers? And what questions can they answer? This is a principle I return to again and again. Real estate professionals don’t need to be data center experts. What they need is confidence in which questions can be answered within their expertise, which require independent customer research, and how to navigate the differences without going too far or remaining silent.
Questions about data centers that home buyers may have
Buyers near data centers often have questions about living next to a data center, its impact on real estate value, and disclosure requirements. Some people have clear answers. Some require more careful handling.
“Can you hear me?”
There’s a simple answer to this. Take your client outside and explore it together. Data center cooling systems run continuously, creating a low-frequency mechanical hum that persists at night and quiets into the weekend.
The most beneficial thing a real estate professional can do is take buyers out to their backyards during quiet evening hours, when there is less street traffic and the need for cooling the property tends to be higher, and have them evaluate it themselves. That first-hand experience is worth more than any words a real estate professional can explain.
“How will this affect my property value?”
Geographical proximity to a data center and direct adjacency to a data center tend to have opposite effects on value. A 2025 study by George Mason University found that homes near data centers in Northern Virginia sell for higher prices. The main reason for this is that data centers are being built in locations that already have good infrastructure, and that’s where buyers actually find value.
However, House Beautiful’s analysis found that homes directly adjacent to data center construction sites sell more slowly and buyers ask far more questions during viewings. The best response is to explain what the findings show by area and detail the parcel-specific factors that buyers can evaluate, allowing them to make their own decisions.
“Was this something that should have been revealed to me?”
yes. Data centers are typically material facts, information that could reasonably influence a buyer’s purchasing decision or the amount the buyer pays. Buyers should carefully consider sellers’ disclosures and ask directly what they learned and when.
For more independent research, you can check the ownership and zoning of adjacent parcels on the county’s GIS mapping portal, check Planning Commission records for pending permits, and access the federal FAST-41 permitting dashboard for development plans that require federal environmental review.
“What will happen to my utility bill and internet access?”
Data centers consume large amounts of electricity, which puts substantial upward pressure on residential electricity bills in high-density markets. A real estate professional can flag this as a situation without quantifying how much a particular buyer will pay.
These facilities are often located near fiber-optic networks, giving nearby residents access to gigabit or higher broadband. For remote workers and technology professionals, that connectivity is a key selling point.
“What about health and environmental concerns?”
These questions are not real estate questions, and the science is active and still evolving. The right course of action is to acknowledge the question, point your client to reliable resources such as the EPA’s environmental data tools or local public health agencies, and let them do the research.
The same logic applies to questions that require expertise that agents don’t have, such as noise decibel thresholds, electromagnetic ratings, and air quality impacts. If you need an expert, let us know and help your client find one.
Questions sellers may ask about data centers
Seller conversations focus on disclosure. The central question is whether a nearby data center is a material fact that must be documented on the seller’s asset disclosure, and in most cases it is.
“Do I need to tell my buyers about my data center?”
Disclosure standards are based on material facts. Would a reasonable buyer want to know this before purchasing a property? A 24/7 industrial area with constant noise, security lighting, and heavy resource use typically meets this criteria, as do railroad tracks and electrical substations.
Proactive written disclosure is the safest method in any jurisdiction, and real estate professionals should know what their state specifically requires.
“What if it’s still being proposed or under construction?”
If the seller knows that there are facilities planned or under construction nearby that would impact the buyer’s experience or the long-term value of the property, that information must be disclosed. Actual knowledge gives rise to obligations. Uncertainty doesn’t take it away.
“How much detail should I include?”
Disclose facts, not personal opinions about them and their impact. A clear note that a nearby data center is continually producing a low frequency hum due to cooling operations is accurate and sufficient. Sellers don’t have to share how they feel about it.
“How much research does a real estate agent need to do before listing?”
Real estate professionals don’t need to do a complete audit of a neighborhood before every listing appointment. All they need to do is pay attention to the drive to the property, what is visible from the yard, and what the seller mentions. The large concrete building down the street and the seller’s mention of a constant hum at night are both relevant pieces of information worth noting.
A good strategy is to ask the seller one open-ended question. “Is there anything you know that could materially impact a buyer’s decision to purchase this home?” This covers data centers, planned developments, zoning changes, and creates a clear record that the conversation took place.
What real estate professionals need to know about data centers
Real estate professionals are community, neighborhood, and market experts. Data centers are complex, rapidly changing infrastructures that communities across the country are still figuring out how to manage.
Real estate professionals who try to answer every customer question in technical detail can quickly stray outside of their expertise. Those who refuse to engage at all will leave the client without the guidance they were looking for. Those who serve clients know best that their job is not to be an expert on everything, but to be a source of information.
Elizabeth L. Quinn is a senior vice president at Dixon Realty, based in Reno, Nevada. Connect with us on Instagram and LinkedIn.
