Other sectors may be struggling amid rising interest rates and inflation, but sales and supply data for the booming life sciences sector have not yet shown cracks.

A new report from Commercial Edge reveals that the average sale price of a life science facility in 2022 clocks in at $645 per square foot, 150% higher than the overall average of $258 psf for general office buildings. Buildings suitable for conversions also command higher prices: DivcoWest, for example, bought a 138,400-square-foot property in South San Francisco from Johnson & Johnson for $164.5 million — a price of $1,188 per foot — and “immediately” began converting the building into lab space.

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Lynn Pollack

 

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