Bay Area Life Science Market Report
| Availability Rate (%)||7.7%|
|Net Absorption (SF)|
The San Francisco Bay Area life science market continues to experience unprecedented growth heading into the second half of 2022. Demand from life science companies continues to drive commercial real estate activity across the region and was recorded at 4.4 million this quarter, which is on par with the previous quarter, at 4.4 million square feet, but down from 5.4 million one year ago. Market-wide vacancy increased to 6.9% this quarter, up from 5.7% in the previous quarter, while availability increased to 7.7%, up from 6.6% in the previous quarter. On the sublease front, vacancy counted for 2.3% of the total inventory, compared to 1.4% in the previous quarter. There was a total of 13 leases greater than 20,000 square feet executed this quarter, compared with 5 in the previous quarter and 10 one year ago. Drug developer Eikon Therapeutics completed the largest deal of the quarter, pre-leasing 290,000 square feet at Alexandria’s Center for Life Science campus development in Millbrae.