Report: San Diego Life Sciences Growth Slowing, but Not for Long

A new report from JLL indicates that the life sciences industry has not been immune to the macroeconomic headwinds plaguing the global economy, but the challenges are expected to be short-term. JLL says “Science doesn’t stop”, and investment in new innovations will continue to drive the industry forward.

While life sciences fundamentals are slowing as public capital pulls back, demand remains above historical levels with vacancy at sub-6% across the top clusters. One of those clusters is San Diego, which is ranked third nationally in talent, funding and real estate inventory, supply and rent growth.

JLL’s outlook for biotech is bullish, despite further expected belt-tightening. The sector may have already hit a low point, and a long slow recovery in valuations may already be underway. Boston and San Francisco stand head and shoulders above all other markets, but San Diego is a solid #3, in a tier of its own between the twin behemoths and the rest of the U.S. markets.