Commercial real estate has quietly but significantly shifted. With declining foot traffic and rising office vacancies, property owners are turning to tech-focused tenants. Repurposing spaces for digital businesses, like data centres, co-working hubs, and e-commerce fulfilment sites—is now one of the most practical ways forward.
The Shift from Footfall to Fibre
The traditional success metric of location, location, location has been redefined. Instead of high-street visibility or proximity to transport hubs, digital businesses prioritise connectivity, flexible layouts, and technological infrastructure. Properties once prized for their corner frontage are being adapted into logistics hubs or creative workspaces with state-of-the-art internet access.
Retail spaces, particularly those left behind by large chains or department stores, have proven especially ripe for digital transformation. These large-footprint sites often come with built-in loading zones, climate control systems, and flexible interior plans, perfect for e-commerce fulfilment or last-mile distribution. In urban areas, digital-first brands are taking over these spaces, turning them into hybrid locations for storage, customer pick-up, and same-day delivery dispatch.
The casino industry reflects this same momentum. While once reliant on foot traffic and in-person experience, it is quickly shifting toward online platforms. Online casinos now cater to players seeking faster payouts, wider game selection, and on-demand access, making many physical venues less essential.
An increasing number of casino players are also migrating from land-based casinos to the best casinos not on GamStop 2025. This is due to these platforms offering players higher betting limits, greater variety with thousands of casino games to choose from, faster payouts through more flexible transaction methods, and larger bonuses such as welcome rewards, cashback offers, and free bets, thus driving this shift from land-based casinos to digital alternatives. Just like in retail, the focus has moved from prime physical locations to robust digital infrastructure and user experience.
How Landlords Are Adapting
For landlords, the shift toward digital businesses is not just about attracting new tenants, t’s about staying competitive in a saturated market. Properties that were once outfitted for traditional retail or office use now require a tech-forward retrofit. Upgrades often include improved Wi-Fi capacity, additional power redundancy, soundproofing, climate-controlled zones, and loading dock enhancements.
One example is the rise in demand for content creation studios as content creation is at an all-time high, with the global digital content creation market size expected to be valued at $68.25 billion by 2023. Digital marketing agencies, influencers, and e-commerce sellers all require video and photography space with adaptable lighting and minimal ambient noise. Older commercial units, especially warehouses or standalone buildings, are being refurbished into turnkey studios offering modular backdrops, green screens, and editing suites. These businesses don’t need foot traffic. They need fibre, lighting rigs, and flexible leases.
The Rise of Digital-First Co-Working
Co-working spaces have long catered to startups and freelancers, but there’s been a surge in spaces tailored specifically for digital business operations. Think beyond desks and meeting rooms. These new digital co-working environments offer podcast booths, server hosting racks, and event streaming setups.
This trend is especially pronounced in cities like London, where commercial office vacancies are high, but digital business activity is growing. For landlords and investors, partnering with co-working operators that cater to digital creators, tech developers, or online sellers is proving to be a sustainable way to retain relevance.
Data Centres and Server Hosting
Another growing use case is the repurposing of old office buildings into small-scale data centres. With cloud services, gaming, fintech, and AI development all on the rise, the demand for physical infrastructure continues to grow. Vacant office properties, especially those with sturdy construction and secure perimeters, are being adapted to meet this demand. It’s a capital-intensive shift but one with long-term rewards.
UK-based developers have started exploring the potential of turning office parks into “edge computing” hubs, smaller data centres located closer to population centres. These spaces are ideal for companies that require low-latency processing for streaming services, fintech platforms, and logistics software.
Local Authorities and Planning Flexibility
Government and local councils play a key role in this transition. Planning permissions and zoning laws can either help or hinder the conversion of commercial spaces into digital-ready facilities. Fortunately, many areas are adapting their frameworks to encourage flexible usage, particularly where high-street vacancies pose long-term risks to local economies.
Several councils across the UK have introduced measures that fast-track planning approval for change-of-use requests, particularly when the end result involves economic activity aligned with technology or creative sectors. These shifts are vital to unlocking the potential of otherwise dormant spaces.
Conclusion
Repurposing commercial real estate for digital use is now central to revitalising underused spaces. As traditional retail and office demand falls, value is shifting to adaptable layouts and strong digital infrastructure. Owners investing in upgrades and non-traditional tenants are gaining ground in a more resilient market. With local backing and rising demand, the shift from footfall to fibre is reshaping UK commercial property.
