By Aaron Jodka | October 2020
Greater Boston’s life science market is bucking the trends of the area’s office market. Absorption is positive, active tenant requirements are rebounding, and investors want a piece of the action. Here are six takeaways on the third quarter’s lab market:
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Lab vacancies fell in the third quarter, to 6.7% across Greater Boston, while office rose to 15.5%.
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This marks 14 straight quarters of positive lab absorption; year-to-date, it is nearly 700,000 SF.
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Major deals by Bristol-Myers Squibb (360,000 SF) and CRISPR (263,000 SF) demonstrate the strength of the lab market.
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Vacancies got even lower in East Cambridge (0.3%).
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Manufacturing requirements are picking up — challenged by the few existing plug-and-play options today.
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Investors are clamoring to get into this market, while those already here are expanding their holdings.