AI Datacentres Drive Central Coast Boom: Local Landlords and Tech Firms Cash In

Tech companies and commercial landlords around the Central Coast are riding a fresh wave of opportunity, with a rush of AI datacentre developments transforming local industrial precincts and boosting lease incomes almost overnight.

Drivers behind the boom include the global arms race in artificial intelligence and a squeeze on suitable industrial land closer to Sydney. As multibillion-dollar players snap up parcels along Yandina Road in Somersby and along the Pacific Highway stretch at Tuggerah, existing landowners and local logistics firms have become the clear early winners.

Landlords on Somersby Ridge See Payoff

One of the biggest beneficiaries is the cluster of property syndicates who bought into Somersby Industrial Area long before AI started dominating business headlines. According to the Central Coast Commercial Property Report, annual industrial rents there have climbed from $115 per square metre in 2022 to $163 this quarter—a jump of 42% in just two years. Local agency Savills says supply is now “critically tight,” with half a dozen datacentre projects competing for every large lot released.

Meanwhile, Central Coast-based NewLeaf Energy has locked in a lucrative land-lease agreement to supply backup power infrastructure for the $650 million NorthBay AI Vault, which broke ground off Gindurra Road in May. NewLeaf’s managing director confirmed that their five-year supply contract is "their largest to date, and proof that scaling up on the Coast is good business."

Winners Emerge—But Pressures Build for Residents

While developers and early adopter firms are seizing the day, the rapid pivot has prompted nervous conversations among residents in Wyong’s older residential pockets and local council planners. CoreLogic data shows median warehouse values along the Tuggerah Business Park corridor spiked by 31% year-on-year in the March 2026 quarter. By contrast, residential property values across the Central Coast have barely moved, up just 2.1% in the same period.

For small logistics companies, there’s also been a silver lining: Tuggerah-based Coastline Freight Services, once struggling with wafer-thin margins, reports it has added three new contracts since January, all from tech and data clients needing secure, local freight links. Fleet manager Angela Dupree says, “It’s the busiest we’ve been in years, and that’s before construction peaks.”

The Central Coast Council’s July business brief warns that available industrial land will be nearly fully allocated within 18 months at current rates. Council is now reviewing zone boundaries in Charmhaven and Ourimbah, hoping to keep new jobs and investment flowing—but acknowledge it will be a balancing act to avoid crowding out future housing land or driving up rents further for traditional manufacturers.

What's Next: Scramble for Space, and How Locals Can Get Involved

With Hunter region’s new $12 billion train manufacturing project announced and similar large-scale datacentre proposals pending, industry watchers expect local competition for land and skills will only increase. Council’s Economic Development Unit is hosting a Central Coast Industry Futures Forum at The Entrance Leagues Club on July 18, offering briefings for property investors, landowners, and job seekers on how to tap into AI and advanced manufacturing trends.

Prospective tenants eyeing this sector should move quickly: Knight Frank’s just-published analysis identifies just 38,000 square metres of developable industrial land still available on the Central Coast—a number shrinking weekly. Local businesses interested in partnership or upskilling opportunities are encouraged to monitor council’s innovation grants and register for regular DA updates if they want to get a jump on the next big project. As demand shows no sign of cooling, the next eighteen months promise strong winds for those already on board—and a scrambling catch-up for latecomers.