Trends
Why ISPs Should treat IP addresses like Real Estate
IPv4 exhaustion has turned addresses into tradable assets, forcing ISPs to rethink them as strategic infrastructure real estate.
Headline
IPv4 exhaustion has turned addresses into tradable assets, forcing ISPs to rethink them as strategic infrastructure real estate.
Context
At a US university Network Information Center, a /16 block of IPv4 addresses sits unused. The institution received this space in the 1980s—along with a /8 block that now spans multiple buildings. At current market rates, that idle /16 alone could be worth over $1.2 million. Yet it’s logged as technical infrastructure, not as the appreciating asset it has become. This scenario is not unique. Hundreds of universities, research institutions and early internet adopters received generous IPv4 allocations when address space was freely distributed. Today, many operate with utilisation rates below 50%—sitting on balance-sheet value they may not even recognise.
Evidence
Pending intelligence enrichment.
Analysis
We first recognised this disconnect when reviewing address audits for several legacy holders. Their reports showed 40-60% vacancy on legacy blocks—yet their capital planning documents made no mention of the potential value locked in that space. This blind spot is becoming increasingly costly as the IPv4 market matures. Also Read: IPv4 investment strategies for forward-thinking ISPs IPv4 addresses that traded for under $15 in the mid-2010s peaked at $45–$50 per address in 2023–2024. By mid-2025, large block prices (/16+) had fallen to 10-year lows, with some transactions below $20 per address. Our analysis suggests this correction reflects increased supply from unused inventory entering the market—not diminished demand. In conversations with brokers, one theme emerges: IPv4 addresses now possess property-like characteristics. Scarcity. Transferability. Revenue potential through leasing or resale.
Key Points
- IPv4 addresses now function like digital real estate —prices corrected to 10-year lows in 2025, creating acquisition opportunities for operators who think like property investors, not technical managers.
- Leasing is the new rental income model —surging 24% year-over-year as operators treat address blocks like rental properties, generating recurring revenue while retaining ownership of appreciating assets.
Actions
Pending intelligence enrichment.
