Life Sciences 2020: The Future is Here

MARKET SUMMARY

FAST LAB STATS

• Life sciences markets typically develop around research institutions where new ideas are spawned. UC Berkeley is centrally located in the market which also has proximity to UCSF and Stanford. As developers build facilities to support life sciences companies, life sciences hubs are formed. The main hubs in the East Bay are located in the North 880 corridor in the towns of Alameda, Berkeley and Emeryville. • The East Bay is primarily a start-up, equity- backed market. These companies dominate the market and drive the demand for space. • Proximity to the rich talent pool and institutional research facilities are the main motivators that drive life sciences companies here. Locating to the East Bay also gives firms access to VC funding and incubator space, as well as access to supply given the competitive nature of the Bay Area market. • Demand for life sciences space is robust and will help drive the supply increase, as well as investment in R&D real estate. • There is essentially no life sciences inventory in the CBD, so all growth will be in the suburban markets.

8.3 MSF MARKET SQUARE FOOTAGE AVERAGE RENT (PER SF) $59.96 22K TOTAL EMPLOYEES +252% TOTAL EMPLOYEES SINCE 2010 (SAN FRANCISCO MSA) 8.0% VACANCY

TOP LIFE SCIENCES COMPANIES

LIFE SCIENCES TALENT POOL: 22,550

COMPANY

TYPE

Number of Persons 19,000 19,500 20,000 20,500 21,000 21,500 22,000 22,500 23,000

Chiron

Pharmaceuticals

Impax Laboratories

Pharmaceuticals

Zymergen

Other Healthcare Technology Systems

10x Genomics

Biotechnology

Average Annual Growth Rate 2001-2018: 0.8%

Amyris

Biotechnology

Exelixis

Drug Discovery

OAKLAND/EAST BAY Danaher (Life Science Platform Businesses) Biotechnology Sangamo Therapeutics Biotechnology Source: EMSI 2001 2003 2005 2007 2009 2011

2013

2015

2017

2019

Harborside

Pharmaceuticals

Dynavax Technologies

Biotechnology

TOP NIH-FUNDED INSTITUTIONS, 2014-2018

UNIVERSITY OF CALIFORNIA BERKLEY $626M

KAISER FOUNDATION RESEARCH INSTITUTE $302M

STANFORD UNIVERSITY $2.2B

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