Bay Area Life Science Market Report
| Availability Rate (%)||5.9%|
|Net Absorption (SF)||500,655|
Recording its sixth consecutive quarter of positive net absorption at 500,655 square feet, the San Francisco Bay Area life science market remains bullish with a secure construction pipeline intact and expected steady demand for the foreseeable future. Net absorption was recorded at 1,800,186 square feet for the year. Demand was recorded at 4.5 million square feet, continuing to significantly outweigh existing supply levels that were recorded at 1.6 million square feet. Demand for life science space continues to surge in the Bay Area market, which has led to an ongoing flurry of leasing and investment activity. There was a total of 22 leases greater than 20,000 square feet executed this quarter, compared with 24 in the previous quarter and 18 one year ago. Two of the top 5 largest transactions recorded this quarter occurred in South San Francisco, which has solidified itself as the flagship of biotechnology and the leading location for life science companies.