REITs with EV Charging Stations - Market Size

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EV Charging Stations for REITs

Electrify America, ChargePoint, and Blinks Charging are the most common providers of electric vehicle (EV) charging stations for Real Estate Investment Trusts (REITs) in the US. The requested information about the company is presented below.

Electrify America

ChargePoint

  • A direct link to the company's website can be found here.
  • ChargePoint's REITs customers include Dallas–UDR Inc, Tanger Factory Outlet Centers, Inc, TIER REIT, Inc., and Cousins property, among others

Blinks Charging

  • A direct link to the company's website can be found here.
  • Among the company’s REITs customers include Related Companies and Brickell on the River.

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REITs with EV Charging Stations - Breakdown

The percentages of real estate investment trusts (REITs) with electric vehicle charging stations that are on office properties, retail properties and apartment buildings are not available. However, based on assumptions and available information, the segments and 'ballpark estimates' include office properties (29%), retail properties (36%) and apartment buildings (24%).

REIT and Segmentation

  • The REIT industry is increasing its focus on sustainable efforts to achieve the environmental, social, and governance (ESG) goals, as top REITs are increasing and expanding their portfolio of EV charging stations across REIT sectors such as retail, office buildings, hotels/hospitality sectors.
  • "REITs invest in the majority of real estate property types, including offices, apartment buildings, warehouses, retail centers, medical facilities, data centers, cell towers, infrastructure and hotels."
  • "Most REITs focus on a particular property type, but some hold multiple types of properties in their portfolios."

EV Charging Stations

  • "Five of the nine charging networks in the AFDC database provide 75.8% of the public charging locations in the US, led by ChargePoint with a commanding 39.3% market share and 6,895 locations/sites."
  • "Tesla with an estimated 18.9% and Blink Network with 8.5% are a distant second and third. However, 21.7% of the locations in the AFDC database are not identified with any specific network."

Commercial Real Estate

  • Commercial real estate is an industry worth about $6 trillion. "This is an estimated value of all direct commercial real estate in the United States." The four largest segments are retail, office buildings, apartment buildings, and industrial.
  • The retail segment is worth about 36% of the total value of the commercial real estate.
  • The office buildings segment accounts for about 29% of the total size of the commercial real estate market.
  • The apartment buildings segment is worth about $1.44 trillion, contributing to the industry by 24%.
  • Lastly, the industrial segment accounts for $240 billion or 4% of the commercial real estate industry. "The remainder of this market comprises the hospitality sector," accounting for 7%.

Segmentation of REITs With EV Charging Stations

  • As part of this project, the total market size of EV charging stations on REIT-owned property has already been estimated to be approximately $107.027 million.
  • Since the estimation of the total market size of EV charging stations on REIT-owned properties was based on the extrapolation of the share of REITs with commercial real estate as a proxy to the share of REITs with EV charging stations, it is also assumed that the market segmentation of the commercial real estate market loosely mirrors that of REITs with EV charging stations.
  • Following the assumption above, the same concept can be applied to estimate the segmentation of the percentages of REITs with electric vehicle charging stations as follows:
    • The retail segment is worth about 36% of the total value of the commercial real estate. For REITs with electric vehicle, the segment accounts for 36% or $38.529 million (i.e., 36% * $107.027 million).
    • The office buildings segment accounts for about 29% of the total size of the commercial real estate market. For REITs with electric vehicle, the segment accounts for 29% or $31.037 million (i.e., 29% * $107.027 million).
    • The apartment buildings segment is worth about $1.44 trillion, contributing to the industry by 24%. For REITs with electric vehicle, the segment accounts for 24% or $25.686 million (i.e., 24% * $107.027 million).
    • Lastly, the industrial segment accounts for $240 billion or 4% of the commercial real estate industry. For REITs with electric vehicle, the segment accounts for 4% or $4.281 million (i.e., 4% * $107.027 million).
    • "The remainder of this market consists of the hospitality sector," accounting for 7%. For REITs with electric vehicle, the segment accounts for 7% or $7.491 million (i.e., 7% * $107.027 million).

Research Strategy

To address this request, the research team scoured through multiple industry reports and market research articles for the segmentation of REITs with EV charging stations but found no data. While we could generally find the market segmentation and typical segments related to the commercial real estate market and the REIT market, there wasn't any for the requested market. Next was to triangulate an estimate. However, it was challenging to obtain a direct and/or accurate estimate because there are hardly any supporting data points such as the specific size of individual segments including office properties, retail properties and apartment buildings. Moreover, the size of the requested market was estimated.

In estimating the share of each segment, we were unable to provide more accurate data due to the unavailability of key information such as the segmentation of REITs by sectors and the share of REITs that own EV charging stations. Hence, we've made assumptions and extrapolations to establish proxies such as the segmentation of the commercial real estate market being the same segmentation of REITs and the share of REITs with commercial real estate being the share of REITs with EV charging stations. These assumptions were used in estimating the size of the requested market, which form the basis of this segmentation. With this, we could estimate a "ballpark estimate" for the segments.
Sources
Sources