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Life Sciences Leasing Activity Builds Momentum During Summer
JLL’s recently released Q3 2017 San Diego Life Sciences Report revealed the Summer produced 195,586 square feet of positive net occupancy growth, decreasing total availability to levels not seen since 2007. The inventory of lab space in the San Diego cluster has been on a growth spree during the past seven years.
Since 2010, the local biotech cluster has grown by more than 20%, bringing the total inventory of life sciences space to nearly 15 million square feet.
3Q 2017 Highlights included:
– Companies from outside of the region are selecting San Diego to expand R&D operations. Both Xeris Pharmaceuticals and AveXis signed leases for primary research functions during the quarter;
– Total availability ended the third quarter at 8.3%, a 160 basis point decrease from the prior quarter, and a 330 basis point decrease from Q3 2016;
– The fourth quarter of the year is anticipated to be strong, with the month of October having already secured four completed transactions, accounting for more than 60,000 square feet of total leasing activity.
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