For electric vehicle (EV) drivers, deciding which apartment to rent, hotel to stay or even store to shop may come down to where they can plug in their ride.

Seeing a business opportunity, commercial real estate developers and property owners are increasingly adding EV charging amenities to attract EV-driving customers, including at high-end properties where modern infrastructure and sustainability are key selling points.

Real estate pros always follow the numbers, of course, and the numbers show electric vehicles have surged in recent years. In 2024, roughly 1.3 million new EVs were sold nationwide, according to a preliminary estimate from Cox Automotive’s Kelley Blue Book — a 10% increase over 2023 and a four-fold increase since 2019 (Figure 1). The increased sales have been spurred by a U.S. public policy goal of lowering carbon emissions. The policy now seems under attack by the new Trump administration, so any forecast of whether the EVs’ roll will continue just got more cloudy. Lowering government buying incentives could pump the brakes. Regardless, even if the trajectory slows EVs aren’t going away, and the more EVs on the road the more need for battery-charging infrastructure — and a possible supply/demand mismatch. The U.S. has roughly 70,000 publicly available stations equipped with 200,000 medium- and fast-charging ports, according to the latest federal data. (This doesn’t include those at single-family residential units and other private facilities.) That’s more than doubled since 2021 (Figure 2), but falls short of meeting growing demand. Industry news outlet InsideEV reported Florida is one of about a dozen states that lack enough public charging spots to meet current demand, citing metrics such as EVs per charger and road miles. And, a U.S. government analysis projected a need for 1.2 million public charging ports to serve more than 30 million EVs expected on the road in 2030.

EV charging landscape

Charging their car battery is one of the major issues EV drivers face, according to consumer surveys. Many EV owners are reluctant to take long trips for fear of not finding a charger when needed, known as range anxiety. Now industry experts increasingly refer to charging anxiety.

According to the U.S. Department of Energy, 80% of EV charging occurs at home, typically using a Level 1 charger plugged into a standard 120-volt household outlet. These chargers are inexpensive and easy to install but they provide just 2 to 5 miles of range per hour of charging — unsuitable for commercial development. EV drivers going on long commutes or who live in multifamily housing, such as apartments and condominiums, are often left to scramble to find a public stall with quicker charging.

Mid-range Level 2 chargers operate at 208 to 240 volts and provide 10 to 20 miles of range per hour. They cost $1,200 to $6,000 per unit, not including the expense of electrical upgrades. They are suited for places EVs are parked for extended periods such as apartments, workplaces and parking lots. Level 3 chargers, also known as DC fast chargers, provide the quickest charging, adding 60 to 80 miles of range in about 30 minutes. These are ideal for high-traffic commercial areas and travel corridors. They cost $10,000 and $40,000 per unit and require three-phase power and potentially significant utility upgrades, making them a substantial investment for developers. The advantage for building owners and businesses is luring consumers who can shop, dine, use a restroom or otherwise linger while their cars charge. Level 3 chargers are also being rolled out at high-income residential buildings and office buildings, where chargers are a highly valued perk for EV-driving employees.

Some businesses such as retailers and hoteliers may opt not to charge paying customers to plug in an EV. For example, 93 Publix grocery store locations provide EV ports, 58 of which are listed for use only by its shoppers during business hours, according to a U.S. Department of Energy database of charging locations. But most public EV ports require users to pay a fee based on the kilowatt-hour of electricity used or the minutes of charging. EV drivers use an app or a credit card to pay.

Retailers seem uniquely positioned to benefit from the EV traffic opportunity. A 2023 research study published by Boston University’s Questrom School of Business found that foot traffic at retail establishments increased an average of 4% after the installation of a nearby Tesla fast-charging station. The scholars analyzed mobile phone location data near Tesla Supercharger stations across 2,892 U.S. counties to estimate retailer foot traffic.

Such results have undoubtedly attracted the interest of large retail businesses. Walmart, Target and Costco are installing hundreds of EV charging ports. Wawa has installed 1,735 DC fast chargers at 195 locations, said Vince Cipollone, director of the company’s EV Charging and New Fuel Business. Buc-ee’s is integrating DC fast chargers at its travel centers, working with Tesla and Mercedes-Benz. Simon Properties and Starbucks have also partnered with Mercedes-Benz, which created a new “Higher-Powered Charging” business and aims to build 2,500 EV charging ports by the end of the decade, according to a spokesperson. The demand seems more intense when you consider corporations with commercial vehicle fleets are rolling out EVs to meet sustainability goals and reduce operational costs. Amazon, for example, plans to deploy 100,000 electric delivery vehicles by 2030 as part of its “climate pledge.”

Charging for service

There’s no single ownership model for how costs and revenues are shared between EV charging companies and property owners, said Jim Hurless, managing director of CBRE’s Global EV Solutions, a unit CBRE created to help clients navigate the EV infrastructure and services landscape. He said some property owners simply rent EV-charging parking space to a growing list of companies that specialize in providing fast-charging, internet-connected ports, including Tesla, ChargePoint, Electrify America, EnviroSpark and EVgo. Other EV “charging as a service” (CaaS) models involve splitting revenues. Depending on the property owner’s participation in the risk, they may receive as little as 10% or as much as 80% of EV-charging sales, with the vendor paying installation and maintenance costs, Hurless said. The estimated utilization for profitability hovers around 2.5 hours of charging per day per port, he added.

To help commercial clients calculate the potential return-on-investment, some EV charging companies provide online calculators. Businesspeople can determine how much profit they may make by adding an EV charging port based on variables such as average electricity costs, service contract length and the amount of any government subsidies.

Competitive edge

Some apartment owners consider providing EV charging a competitive advantage. Apartments.com, the rental finding portal, allows apartment hunters to select “EV charging” as an amenity to narrow search results. As of January, the site listed more than 36,000 rental units in Florida with access to EV charging. It’s an amenity especially appealing to tenants of high-end apartments, given that studies suggest people with higher incomes are more apt to own EVs.

“For our residents with electric vehicles, it’s been a huge plus,” said Keith Gelder, president of Stock Luxury Apartment Living. “Instead of having to schedule and plan their charging into their daily routine, they can conveniently charge at home.” The Naples, Florida-based luxury apartment developer has installed Level 2 charging ports to accommodate 5% of its parking spaces at three rental communities.

Company officials consulted several EV charging firms before hiring ChargePoint to install and operate the chargers. They also hired architectural and electrical design consultants to ensure proper loading and circuitry. Building and fire codes presented obstacles in some local jurisdictions, Gelder said. For example, building officials would not allow EV charging stations in a parking garage because the potential for a fire, which is a safety concern of EV charging.

Gelder said the newly installed stations are consistently full, indicating they are in high demand, and the company plans to expand its EV infrastructure in future projects. “In the competitive multifamily landscape where developers are always seeking to stand out among the competition, EV chargers are a differentiator,” he said.