Bay Area Life Science Market Report
Leasing momentum continued through year-end, as the Bay Area recorded 1.5 MSF of gross absorption, up from 845 KSF in the prior quarter. The market also posted its second consecutive quarter of positive net absorption, closing at 661 KSF. Marketwide vacancy declined to 27.7%, down from 29.1% in the previous quarter. While vacancy remains elevated by historical standards, the 140-basis-point decline represents the largest quarterly decrease over the past five years. Sublease vacancy also continued to trend downward, falling to 3.0% from 4.0% last quarter and 4.8% one year ago. Active tenant demand totaled 2.6 MSF, down from 3.1 MSF in the prior quarter, as several large leases executed during the quarter contributed to the decline.
Download Bay Area Life Science Market Report 4Q25