• videocam Live Webinar with Live Q&A
  • calendar_month December 10, 2026 @ 1:00 PM ET/10:00 AM PT
  • signal_cellular_alt Intermediate
  • card_travel Real Estate - Finance
  • schedule 90 minutes

Formation and Operation of Data Center REITs

Understanding and Addressing Subchapter M Challenges

Early Bird Pricing!
MSRP
$347.00
$294.95
Save $52.05

Discount expires 11/26/26

This course is $0 with these passes:

CLE
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About the Course

Introduction

This program will explore how data center REIT deals are structured, including a deep dive into REIT compliance issues unique to data centers, structural solutions for data center developers and investors, and more. Designed for intermediate-to-advanced practitioners, this program offers a deep dive into Subchapter M challenges and REIT risks, with key transaction guidance and drafting strategies.

Description

Data centers have quietly evolved from niche infrastructure into one of the fastest-growing real estate categories. Now mission-critical assets, data centers power cloud computing, e-commerce, artificial intelligence, digital payments, and more. Given its ties to our economic livelihood, the data center asset class has given rise to a powerful financial instrument: the data center REIT. 

Data center REITs are forecasted to continue attracting investors and will absorb significant real estate market capital. As this growth continues, practitioners must understand how power infrastructure, cooling systems, connectivity, tenant services, construction-in-progress, power revenue, and personal property present Subchapter M challenges that affect REIT income and asset tests so that they can address these challenges in deal structures and documentation. 

During this comprehensive presentation, our faculty will provide a practical framework for analyzing data center and digital infrastructure transactions. Designed for intermediate to advanced real estate and tax attorneys, this program examines qualification issues, TRS structures, and lease and operating models. Our experienced faculty will also outline mission-critical acquisition and disposition structures, joint ventures, and tax considerations practitioners must address as they plan deals and memorialize terms in agreements and documentation. 

Listen as our authoritative panel provides analysis and gain practical tools to evaluate data center structures, assess REIT qualification risks, and address those risks with improved deal structures and sharper transaction documents. 

Presented By

Paige Anderson
Partner
Vinson & Elkins LLP

Ms. Anderson’s practice focuses on the federal income tax aspects of business transactions, particularly in the real estate industry. She advises REITs, private equity sponsors and investors, and other investors on a variety of tax matters, including the formation of public and private REITs, tax planning associated with equity and mortgage REITs, qualified opportunity zones, capital markets transactions and IPOs, mergers and acquisitions, joint ventures, reorganizations, financings, and tax aspects of foreign investment in U.S. real estate.

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Vinay Prabhakar
Partner
Vinson & Elkins LLP

Mr. Prabhakar advises clients on the tax aspects of domestic and cross-border transactions, including mergers and acquisitions, financings, and capital market transactions, with a particular focus on the infrastructure asset class. Within infrastructure, he has extensive experience in transactions and assets involving midstream, power and renewables, transportation, and digital infrastructure. Prior to joining V&E, Mr. Prabhakar was a Managing Director and Global Head of Tax at Global Infrastructure Partners (GIP)—now part of BlackRock—where he was responsible both for tax planning for GIP’s funds and associated entities and transaction tax structuring. 

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Credit Information

  • This 90-minute webinar is eligible in most states for 1.5 CLE credits.


  • Live Online


    On Demand

Date + Time

  • event

    Thursday, December 10, 2026

  • schedule

    1:00 PM ET/10:00 AM PT

I. REIT asset test pressure points

A. Real property regulations and the structural component analysis

B. Construction-in-progress and long-lead equipment

C. Powered land and intangibles

II. REIT income test pressure points

A. Rents from real property and data center leases

B. Data center-unique tenant services

C. Power and the net-metering safe harbor

III. Structuring data center REITs and transactions with REITs

A. TRSs

B. Procurement companies

C. JVs

D. Acquiring and disposing of data center portfolios

The panel will address these and other key considerations:

  • How do power, cooling, connectivity revenue, construction in progress, and the personal property limits reshape the asset test and rents-from-real-property analysis for data centers?
  • How to handle impermissible tenant services and work with the TRS 25% asset test ceiling and other limitations
  • What REIT ownership and governance requirements must be observed for data center REITs?
  • Which measures will help preserve REIT status and manage prohibited transaction exposure for large acquisitions and dispositions?
  • How to design transactions that support graceful exits and other strategies to consider for structuring taxable and tax-deferred exits