Digital Realty raised its annual funds from operations forecast, citing robust demand for data center space driven by AI workloads and hyperscaler expansion. The REIT, which operates more than 300 facilities across 25 countries, did not disclose revised FFO figures in available reporting but indicated that leasing activity is tracking above earlier projections. An updated forecast from one of the largest publicly traded data center operators signals broad market confidence heading into the second half of 2026.

Why this matters

Digital Realty's upward revision serves as a real-time demand indicator for the broader colocation market, influencing investor expectations for other REITs and private operators. Sustained FFO growth also supports continued capital raises for new construction and acquisitions.

Why the Digest selected this story

Named company Digital Realty, FFO forecast revision, and market-wide demand signal triggered selection. This is a financial disclosure with direct implications for REIT sector valuations and capital availability for future buildouts.

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