Life Sciences 2020: The Future is Here

MARKET SUMMARY

FAST LAB STATS

PHILADELPHIA Park in Ambler, adding more than 250,000 sf of space by 2021. In addition, MLP Ventures is pursuing the redevelopment of the former GlaxoSmithKline pharmaceutical R&D facility in King of Prussia. • The Greater Philadelphia region is one of the largest and most dynamic life sciences hubs in the United States, employing more than 49,000 people in approximately 800 life sciences companies. These companies specialize in pharmaceuticals, medical device manufacturing, clinical research, biotechnology and research and development in many new therapies. Philadelphia is also emerging as a leader in gene and cell therapy research and development and manufacturing. • Life sciences companies choose to do business in the region due to the talent pool including graduates from local universities, such as the University of Pennsylvania, Thomas Jefferson and Temple University and experienced talent from the many existing life science companies. Philadelphia is home to more than 122,000 university students, with approximately 33,000 graduating annually. Philadelphia is the third- largest recipient of National Institute of Health (NIH) funding in the nation and is the largest recipient of NIH funding for gene and cell therapy research. • Companies such as Spark Therapeutics, Avid Radiopharmaceuticals, and Amicus Therapeutics have been driving innovation and developing novel therapies and cures. As a result, Spark significantly expanded its presence in University City and Amicus established a new Global Research and Gene Therapy Center of Excellence in uCity Square proximate to other emerging gene and cell therapy companies. Iovance is constructing a new manufacturing facility to fit its specific needs. The manufacturing building at the Philadelphia Navy Yard is located near GSK’s US headquarters and other leading biotech companies such as Adaptimmune and Wuxi Apptec. This growth in demand has prompted Wexford Science+Technology to break ground on a 400,000-sf spec lab-office tower located in the heart of uCity Square. • The suburban market saw significant leasing activity in 2019 with more than 105,000 sf of R&D/Flex transactions. MRA Group is renovating several former Rohm and Haas buildings at the Spring House Innovation

9.7 MSF MARKET SQUARE FOOTAGE AVERAGE ASKING RENT (PER SF) $30.78 15K TOTAL BIOTECH + R&D EMPLOYEES +4% TOTAL EMPLOYEES SINCE 2010 10.4% VACANCY

TOP LIFE SCIENCES COMPANIES

LIFE SCIENCES TALENT POOL: 22,688

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

COMPANY

TYPE

Pfizer, Inc.

Big Pharma

Merck & Co. Inc.

Big Pharma

GlaxoSmithKline

Big Pharma

AstraZeneca

Big Pharma

Average Annual Growth Rate 2001-2018: 0.8%

Teva Pharmaceutical Industries

Big Pharma

Endo Health Solutions, Inc.

Pharmaceutical

Jazz Pharmaceuticals

Pharmaceutical

Incyte Corporation

Pharmaceutical

Lannett Company, Inc.

Pharmaceutical

2001

2003

2005

2007

2009

2011

2013

2015

2017

2019

Source: EMSI

TOP THREE NIH-FUNDED INSTITUTIONS

UNIVERSITY OF PENNSYLVANIA $2.4B

THE CHILDREN'S HOSPITAL OF PHILADELPHIA $611M

TEMPLE UNIVERSITY $358M

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