Life Science: Great Promise & Rapid Growth

MARKET SUMMARY

Life science is an emerging component of New York City’s economy, and increased venture capital funding as well as significant tax incentive programs are helping to accelerate growth in the area. As a result, demand for commercial laboratory space is underserved, but developers are responding as the amount of lab space currently in the development pipeline will nearly double the market’s inventory. Already maintaining the largest block of commercial lab space in New York City, Alexandria Real Estate Equities is set to begin construction on the $700-million, 550,000-sf North Tower of the Alexandria Center for Life Science in 2020. This project will be the final phase of the east side medical corridor development and is scheduled to be completed by the end of 2022, increasing

its total footprint to nearly 1.3 msf. In addition to the North Tower, Alexandria has further plans to build out lab space at two recent acquisitions, Pfizer’s former 350,000-sf headquarters near Grand Central and the 175,000-sf Bindery in Long Island City. Taconic Investment Partners and Silverstein Properties are also investing in the local industry, converting a former industrial building into a life science center on the west side of Manhattan. Now named the Hudson Research Center, the 320,000-sf property already houses the new 42,000-sf headquarters of the New York Stem Cell Foundation. The project’s $20 million first stage will include 15,000 sf of commercial lab space to be completed by January 2019, and following stages may include up to an additional 135,000 sf.

TOP TEN LIFE SCIENCE EMPLOYERS (BY REVENUE)

FAST LAB STATS

1.2 MSF MARKET SQUARE FOOTAGE AVERAGE RENT (PER SF) $79.00 15K TOTAL EMPLOYEES 22.3% VACANCY

COMPANY

TYPE

Pfizer

Pharmaceutical

Bristol-Myers Squibb

Biopharma

Regeneron

Biotechnology

Eli Lilly

Pharmaceutical

NEW YORK CITY Roche Holdings Pharmaceutical Kadmon Holdings Biotechnology

Roivant Sciences

Biotechnology

Intercept Pharmaceuticals

Biotechnology

Meditata Solutions

Digital Health

Schrodinger

Digital Health

TOP THREE NIH-FUNDED INSTITUTIONS

COLUMBIA UNIVERSITY HEALTH SCIENCES $464M

ICAHN SCHOOL OF MEDICINE AT MOUNT SINAI $331M

NEW YORK UNIVERSITY SCHOOL OF MEDICINE $259M

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