Life Sciences on the Rise: 2021 North American Report

MARKET SUMMARY • Washington, DC has among the nation’s largest concentrations of life sciences workers in both government-related as well as venture capital and publicly-funded institutions. • The industry is heavily concentrated in Montgomery County, Maryland, where innovation is centered around around the National Institutes of Health, the National Institute of Standards and Technology, and the Food and Drug Administration. • The life sciences companies that proliferate in the county and in neighboring Frederick and Prince George’s, MD. include those that concentrate in medical and clinical research and development, medical devices, biologics, and pharmaceutical manufacturing. • Due to impressive private sector demand that was accelerating even prior to 2020 coupled with very limited real estate supply, the biotechnology/lab market has tightened considerably to compete with other high-yield, “niche” commercial real estate asset classes including data center, last-mile industrial, cold storage and student housing. • Increasing scarce supply in the life sciences market will lead to increasing investment with a focus on the conversion of existing underperforming assets to accommodate bio and wet lab users as well as ground-up development.

FAST LAB STATS 10.2 MSF MARKET SQUARE FOOTAGE

$27.68 $ PER SF NNN

6.7% VACANCY 30.3K TOTAL LIFE SCIENCES EMPLOYMENT & TALENT POOL +32% LIFE SCIENCES EMPLOYMENT GROWTH RATE SINCE 2001

REPRESENTATIVE LIFE SCIENCES COMPANIES

LIFE SCIENCES TALENT POOL

10,000 12,000 14,000 16,000 18,000 20,000 22,000

20,811

COMPANY

TYPE

AstraZeneca

Research Facility

GlaxoSmithKline

Research Facility

Average Annual Growth Rate 2001-2020: 1.7%

Otsuka

Research Facility

Number of Persons

Number of Persons

Emmes

Headquarters

ThermoFisher Scientific Regional Office

2011

2017

2012

2021

2015

2013

2018

2016

2019

2014

2001

2010

2007

2002

2020

2005

2003

2008

2006

2009

2004

Wa hingto -Arlington-A exandria, DC-VA-MD-WV

Talent pool includes life science professionals not currently employed in the life science sector Source: EMSI

Supernus

Headquarters

Qiagen

US Headquarters

BioReliance

Headquarters

Washington, DC Metro BIO DEGREE-AWARDING INSTITUTIONS, METRO AREA • Georgetown University • George Washington University • American University • University of District of Columbia • University of Maryland • George Mason University • University of Virginia • Virginia Polytechnic Institute and State University National Institutes of Health Headquarters Food & Drug Adminstration Headquarters

TOP NIH-FUNDED INSTITUTIONS (2016-2020)

LEIDOS BIOMEDICAL RESEARCH, INC $1.6B

GEORGE WASHINGTON UNIVERSITY $504M

GEORGETOWN UNIVERSITY $245M

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