Thank you for sharing!

Your article was successfully shared with the contacts you provided.

LA JOLLA, CA-After more than two years of negotiations, a bankruptcy and a new owner, Advanced Tissues Sciences Inc./Dermagraft Joint Venture (which is now owned by Smith & Nephew) has renewed its 85,000-sf headquarters lease with Alexandria Real Estate Equities Inc.

According to the terms of the 10-year agreement, the biotech company will continue to occupy its space at 10933 N. Torrey Pines Rd. in La Jolla. The transaction is valued at $20 million.

Smith & Nephew was represented by David Y. Cantwell and Scott Granger from Studley Inc.’s Orange County office. Studley began negotiations on behalf of Advanced Tissue Sciences in the third quarter of 2000. When Advanced Tissue Sciences filed for Chapter 11 this past October and then sold its interest in the Dermagraft JV to its joint venture partner Smith & Nephew in November, Studley continued to hammer out a lease for the tenant.

According to Cantwell, the lease renegotiation started early enough that the renewal resulted in “a better market rate” than would have been possible had negotiations not begun until the original lease expired. “When a landlord realizes their costs associated with losing a tenant, terms can be achieved that save medical firms millions of dollars in long-term real estate expenses,” Cantwell says.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper



Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.