March 2025 Life Sciences Update

HUB MARKET

San Francisco Bay Area

MARKETS CONTENTS

Market Summary

Public & Private Funding (2024)

Rent vs. Vacancy Comparison

Fast Lab Stats

• With over 48 msf of lab inventory spanning the Bay Area’s two major life sciences hubs (San Francisco Peninsula and East Bay Oakland), the region continues to experience strong industry expansion driven by its occupancy base. • The region’s highly educated workforce, reinforced by its proximity to elite research institutions such as UC San Francisco, Stanford University and UC Berkeley, has made the Bay Area one of the most elite and active life sciences clusters in the world. • The Bay Area has the world's largest concentration of life sciences VC and private equity, which are key in funding companies at all stages. • Biotechnology and pharmaceuticals represent most of the life sciences leasing activity in the market, though the medical device and health tech sectors are extremely active as well. developers delivering over 12 msf over the last six years. There are 3.8 msf under construction, and more than 17 msf are in various stages of planning. This current and planned development has been dominated by speculative projects — both ground-up and conversions from office. • Past market demand created a continual landlord-favorable market, with

$ Raised (MM)

$85

28%

Company

Deal Type

Completed VC Round

48.7 MSF Market Square Footage $72.27 $ Per SF 26.0% Vacancy 117.5K Total Life Sciences Employment 58.6% Life Sciences Employment 10-Year Growth Rate

$75

24%

Xaira Therapeutics

Early Stage VC

Apr 2024 1st Round $1,000.0

Vacancy Rate

Septerna (NAS: SEPN) IPO

Oct 2024

$331.2

$65

20%

ArsenalBio

Later Stage VC

Sep 2024 3rd Round $325.0

$55

16%

Kyverna (NAS: KYTX)

IPO

Feb 2024

$319.0

$45

12%

Alumis (NAS: ALMS)

Later Stage VC May 2024 5th Round $259.0

Freenome

Later Stage VC

Feb 2024 8th Round $254.0

$35

8%

AltruBio

Later Stage VC May 2024 6th Round $225.0

Average Asking Rent $/sf

$25

4%

Alumis (NAS: ALMS)

IPO

Jun 2024

$210.0

$15

0%

BridgeBio Oncology Therapeutics

Later Stage VC

Apr 2024 1st Round $200.0

2015 2017 2019 2021

2023

Asking Rents

Overall Vacancy

Sublease Vacancy

Soley Therapeutics

Later Stage VC

Sep 2024 3rd Round $200.0

Representative Life Sciences Companies

Life Sciences Labor: Average Monthly Job Postings and Hires

Representative Lease Transactions (2024)

Company

Type

Company

Address

Size (SF) New/Renewal

Quarter

Landlord

3,000

Gilead Sciences HQ (Foster City)

258,581 Renewal/Expansion

Q4

Alexandria Real Estate Equities

Vaxcyte

825 Industrial Rd

BioMarin Pharmaceutical

2,500

HQ (San Rafael)

230,592 Renewal

Q4

Alexandria Real Estate Equities

Genentech

751 Gateway Blvd

2,000

Regional Office (S. San Francisco)

Amgen

225,878 New Lease

Q2/Q4 IQHQ

Chan Zuckerberg Institute

ELCO Yards

1,500

212,899 Renewal

Q4

Gemini Rosemont

Intuitive Surgical

3410-3420 Central Expy

Genentech

HQ (S. San Francisco)

205,108 New Lease

Q4

Healthpeak Properties

Cellares

1100-1120 Veterans Blvd

1,000

Regional Office (Berkeley)

Bayer

143,188 Renewal

Q1

Alexandria Real Estate Equities

Insitro

279 Grand Ave, E.

500

136,000 Renewal

Q3

BioMed Realty

Natera

201 Industrial Rd

Exelixis

HQ (Alameda)

0

98,626 New Lease

Q4

Penumbra

HQ (Alameda)

Alexandria Real Estate Equities

Stanford Medicines

3170 Porter Dr

2020 2021

2022

2023

2024

Regional Office (S. San Francisco) Regional Office (Foster City)

77,130 New Lease

Q1

DRA Advisors

Science Corp.

300 Wind River Way

Abbvie

Hires Unique Postings

63,048 Renewal

Q4

Diversified Healthcare Trust

Ultragenyx Pharma

5000 Marina Blvd

Illumina

Bio Degree-Awarding Institutions, Metro Area

Annual Life Sciences Degree Completions

Brisol Myers Squibb

Regional Office (Redwood City)

Stanford University

2013 5,156 2023 7,095 Up 38%

• • • • • •

University of San Francisco University of California Berkeley

Top NIH-Funded Institutions (2020-2024)

Gladstone Institute

$3.8B University of California, San Francisco $3.1B Stanford University

$744M University of California Berkeley

Lawrence Livermore Labs

Lawrence Berkeley National Labs

University of California, San Francisco

Research Contributors

•

Jason Karbelk jason.karbelk@cushwake.com

Gabriella Sierra gabriella.sierra@cushwake.com

Minh Phan minh.phan@cushwake.com

Sources: Cushman & Wakefield Research, CoStar, National Institutes of Health (NIH), Lightcast, Pitchbook

Cushman & Wakefield

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