What is life science?
Life science is a broad and interdisciplinary field that has expanded rapidly in the wake of the pandemic and encompasses the study of living organisms, cells, and biological systems. Split between academia and industry, the industry side refers to private organizations that focus on commercializing products and technologies. These companies are commonly generalized into five overlapping groups: pharmaceutical, biotechnology, medical devices, digital health, and supporting businesses such as contract research organizations/contract manufacturing organizations (CROs/CMOs).
What are the investment trends in Life Science?
Throughout the pandemic, the life sciences industry gained record funding fueled by the unprecedented speeds through which the COVID-19 vaccines were created and distributed. This, combined with low-interest rates, opened the opportunity for increased VC funding in this booming industry. U.S. biotech startup funding peaked at about $47 billion dollars in 2021, according to Crunchbase News. To handle this growing demand, specialized spaces have emerged to meet the needs of life science companies through the nascent asset class of life science real estate. Looking into 2023, this recession-resilient industry is poised for continued growth, though at a slower pace representing a more sustainable market condition. Thus, giving life science companies better opportunities to acquire spaces to improve operational efficiency.
What is life science real estate?
Life science real estate refers to real estate that is specifically designed and built to support the needs of the life science industry. This type of real estate typically includes facilities such as laboratories, research and development centers, and manufacturing space. It may also include office space for administrative and support staff, as well as amenities such as conference rooms and cafes. In short, life science real estate is designed to meet the unique requirements of the life science industry.
What makes life science real estate unique?
Life science real estate is unique because of the specialized infrastructure required by life science companies. Facilities require advanced features such as cleanrooms, lab equipment, and fume hoods, as well as advanced HVAC systems that enable precise control over environmental conditions. In addition, they frequently have to meet strict security compliance set by the FDA to protect against theft or the release of hazardous materials.
As science companies continue to grow through large rounds of funding, it is essential that they effectively manage their growth through the appropriate spaces. This means that the flexibility of these spaces remains essential. As technology and research methods change, so too must the buildings that occupy them adapt through progressive reconfigurations. It is also imperative to design lab spaces that optimize for collaboration and teamwork, which is essential to the success of modern life science companies. Such collaborations may necessitate open office plans, shared lab space, conference rooms, and other technologies to help facilitate interpersonal communication and maximize productivity.
What makes life science real estate so exciting?
Life science real estate is a rapidly growing field with immense potential to accelerate scientific achievements through vastly improved accommodations. This mutually beneficial collaboration will help investors better understand and promote the growth of science companies so that they are better able to create breakthrough discoveries that improve health and quality of life. There is nothing more exciting than being part of a team of dedicated professionals working toward a shared vision to accelerate the maximization of human potential that ensures a sustainable future for all.
Why contact LSRE Solutions?
LSRE Solutions is passionate about accelerating science through collaborative spaces. We combine science and real estate to support the scientific community and help science companies find the best life science real estate solutions. To cultivate strong relationships between science companies and real estate investors, we have assembled a team with experience and dedication to both. Our client's success is our highest priority.