Life Sciences Update | 2022 October

Flow of Funding

Total Annual U.S. NIH Funding Over Time

Top Markets in NIH Funding for the Previous Five Years (2018-2022)

$40

1

Boston

$16.2 B

9

San Diego

$6.3 B

$35.8

$35

2

New York City

$13.1 B

10 Chicago

$5.7 B

$30

Baltimore / Suburban MD (I-270)

11

Houston

$5.1 B

3

$10.5 B

$25

12

Pittsburgh

$3.7 B

4 San Francisco Bay Area $10.4 B

$20

13

Ann Arbor

$3.4 B

Average Annual Growth Rate

5

Raleigh / Durham $8.5 B

$15

Billions

14 Saint Louis

$3.3 B

$10

1995-2021: +5.5%

6 Seattle

$6.8 B

2016-2021: +7.6%

15

Atlanta

$3.1 B

$5

7

Los Angeles

$6.7 B

$0

8

Philadelphia

$6.4 B

2011

1997

1995

2017

2012

2021

1998

2015

2013

1996

1999

2018

2016

2019

2014

2001

2010

2007

2002

2020

2005

2003

2008

2006

2009

2004

2000

Source: U.S. National Institutes of Health, Cushman & Wakefield Research, 2022 as of June 30, 2022

Source: U.S. National Institutes of Health, Cushman & Wakefield Research, 2022 as of June 30, 2022

NIH at Peak Levels Total U.S. National Institute of Health (NIH) funding grew by 3.1% YoY in 2021. At $35.8 billion, it is the highest year on record, easily outpacing 2019 funding by 15.9%. Growth in funding over the past five years has averaged +7.6% per year, which is faster than the 26-year average (+5.5%). Funding for the current year totals $22.1 billion as of June 2022. This is on pace to meet this year’s NIH federal funding budget of $45 billion.

The top 10 life sciences markets also attract the most NIH funding. As a percent of total, these markets garnered 49% of total funding in the first half of 2022. Boston, New York City and Suburban Maryland have received the largest flow of funds in the last five years and are home to some of the largest research institutions in the country.

13 / CUSHMAN & WAKEFIELD

LIFE SCIENCES UPDATE | 2022 OCTOBER