New development patterns likely to emerge in Maryland's life science market<br /><br /><br />Available life science space is dwindling in Maryland's traditional life science core.<br />Only six buildings currently offer space larger than 20,000 s.f.<br />Space with high ceilings and utility capacity are scarce.<br />Investor demand has increased in the last...
New development patterns likely to emerge in Maryland's life science market
Available life science space is dwindling in Maryland's traditional life science core.
Only six buildings currently offer space larger than 20,000 s.f.
Space with high ceilings and utility capacity are scarce.
Investor demand has increased in the last plots of vacant and underutilized land.
With such a tight market, the future pipeline has expanded to the north and south of the existing core.
Kite Pharma recently purchased 20 acres in Urbana for a new 279,000 s.f. R&D, manufacturing, and distribution center. The company will join Thermo Fisher and MedImmune, which also have facilities in Frederick County.
South of Shady Grove, StonebridgeCarras is planning to break ground this year on 175,000 s.f. of lab space in downtown Bethesda at 8280 Wisconsin, the first urban and vertical lab space across Metro DC.
In neighboring metro Baltimore, tenants in search of lab space are encountering similar dynamics as vacancy for life science buildings has dropped to 5.6%. The lack of availability has led life science companies to increasingly explore retrofitting second-generation office space from White Marsh to Columbia for their requirements.
Leasing at 8280 could prove telling for the future of Montgomery County’s life science industry as other major life science clusters nationally tend to have both a suburban and urban core. In Cambridge, MA, the nation’s #1 life science cluster, 78% of the supply is in urban areas. Could Montgomery County’s life science industry trend urban and move south along I-270 to reap the benefits of urban talent coupled with close proximity to NIH?
Contact us to find out what developers are planning to do to increase the life science supply over the next 3-4 years.