Turn to page B1 for Banker & Tradesman’s monthly coverage of all things commercial real estate.
ANNIVERSARY BY THE NUMBERS
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R E AA LL EES ST T F AI N A INA CL I IANLF OI R NM F A O TRI M A TSI I O RE AA T ET E& & FIN NC ON NN C E S 1I 8N7C2 E
County close-up: Barnstable Spotlight: Marstons Mills
IN PERSON
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The pandemic and a pending recession have left many business owners contemplating their own futures along with everyone else. UBS’ Brian Lynch is helping them figure out what’s next.
WEEK OF MONDAY, SEPTEMBER 26, 2022
COMMERCIAL REAL ESTATE BY THE NUMBERS
34 million square feet The amount of life science space in the San Francisco Bay Area. See Steve Adams’ story on this page. Source: Newmark
4 miles Medford’s distance from downtown Boston. See Cameron Sperance’s story on page B1. Source: USGS
28.4 million square feet The amount of life science space in the Boston area. See Steve Adams’ story on this page. Source: Newmark
Greater Boston is poised to regain the national lead in life science space from California’s Bay Area, with nearly 18 million square feet of life science construction and conversions. Pictured is the 10 World Trade lab tower under construction in Boston’s Seaport District.
C O A S TA L C O M P E T I T I O N
LEADING LIFE SCIENCE CLUSTERS
SHARE STRENGTHS AND RISKS
1.2 million square feet The size of Combined Properties’ proposed life science development in Medford. See Cameron Sperance’s story on page B1. Source: City of Medford
9.7 million square feet
2 The number of former high-level BPDA staffers taking top jobs at Keegan Werlin LLP. See Week on the Web on page 2. Source: Keegan Werlin LLP
250,000 square feet The size of RISE Together’s recently approve life science project in Medford. See Cameron Sperance’s story on page B1. Source: City of Medford
17.6 million square feet The amount of life science space under construction in the Boston area. See Steve Adams’ story on this page. Source: Newmark
Unless otherwise noted, all data is sourced from The Warren Group’s Mortgage Market Share Module, Loan Originator Module, Statistics Module and/or proprietary database. For more information please visit www.thewarrengroup.com/business/ datasolutions.
Boston, Bay Area Vie for Industry Lead BY STEVE ADAMS BANKER & TRADESMAN STAFF
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ising energy costs, lack of housing affordability, limited availability of development sites and costly new building codes add up to headwinds for the growth of the life science industry. Massachusetts and the San Francisco Bay area, the leading U.S. clusters, share many of these same risk factors on top of
the recent declines in private investment already slowing the industry’s growth. But industry executives and real estate researchers predict neither Greater Boston nor northern California are likely to cede their leading positions to markets such as San Diego and North Carolina’s Research Triangle, the next-biggest biotech clusters, even if the industry enters a contraction phase. “We’ve got a 40-plus-year head start at this,” said Molly Heath, senior managing director at JLL, citing the Boston region’s potent combination of university research, teaching hospitals, venture funding and startup ecosystem. “Other mar-
kets would need a time machine to catch up with Boston.” The Bay Area has the current edge in the size of its life science real estate portfolio, with nearly 34 million square feet of space to Greater Boston’s 28.4 million-square-foot portfolio, according to Newmark research. But the Boston area is poised to retake the top spot with 17.6 million square feet of current new construction and conversions, compared with the Bay Area’s 9.7 million-squarefoot pipeline. Whether developers will find tenants for all of that space remains an open question. Continued on Page 11
COMMERCIAL INTERESTS
F R E S H S TA R T
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Commercial Real Estate PAGE 3
Banking & Lending PAGE 9
Image courtesy of Sasaki
The amount of life science space under construction in the San Francisco Bay Area. See Steve Adams’ story on this page. Source: Newmark