If the future of cars is to be electric, the 2020s will be the decade that turns the tide.
Last year, demand for electric vehicles (EVs) led to a meteoric rise in Tesla’s stock price, turning the electric vehicle pioneer from a bankruptcy candidate into the most valuable car manufacturer in the world. Domestically, over 18 million electric vehicles are expected to hit the road over the next 10 years, boosted by a notably pro-electric Biden administration.
Some may look at this growth in EVs as a missed investment opportunity. However for those in commercial real estate, the true opportunity has just begun: the race for charging stations.
Electrifying Commercial Real Estate
While America now has 1.6 million electric vehicles, public charging stations have seriously lagged behind—only 40,000 have been registered with the U.S. Department of Energy.
This is a fraction compared to the roughly 150,000 gas stations in the U.S—and even a steeper fraction compared to the ambitious 500,000 charging station target set by the Biden administration. This has led to pent up demand, and charging infrastructure investments are already expected to exceed $13 billion over the next 5 years.