Newmark Completes Full Building Life Sciences Lease in Alameda, California

February 9, 2023 9:00 AM

Newmark[1] announces Vivani, a California-based biopharmaceutical company, has signed a 43,645-square-foot, full building lease at the Radius @ Harbor Bay campus, a nearly 700,000-square-foot life science and innovation campus, located in Alameda, California.

Newmark Managing Directors Ari Rokeach and Conor Ranahan represented the landlord and ownership group, Paceline Investors and True North Management Group, in the transaction.

“Building labs on a speculative basis is a high-risk, high-reward endeavor, so the pipeline of new spaces in the East Bay remains thin. Built-out labs continue to be incredibly valuable to tenants and keep leasing at record rates,” said Ranahan. “Landlords, like Paceline and True North, who are willing to invest in building out high-quality lab spaces will be successful in securing tenants in a venture capital-constrained market. We are grateful to have had the opportunity to work with both Paceline and True North on such a successful project.”

Rokeach added, “We are seeing a flight-to-quality in today’s market, and this lease is an indicator of the submarket’s appeal along with strong demand for built-out lab spaces that enable companies to shorten time to occupancy and to reduce capital expenditures. Alameda has quickly become a burgeoning life sciences submarket, acting as a pressure release valve for Emeryville/Berkeley and will continue to grow given the anchors of Exelixis, Penumbra and Abbott Laboratories.”

“We are excited to welcome Vivani to our Radius community. They were clear in their needs and desires and we are validated to know that our market-ready improvement plan could help them achieve their occupancy goals and create their next corporate home,” said Jay Atkinson of Paceline Investors.

Chris Saltis of True North added, “The Radius @ Harbor Bay offers life science and innovation space users a relative value in the East Bay with an emphasis on speed to market via our ready lab suite program. This offering is enhanced by the submarket’s existing complementary adjacencies and dedicated amenities.”

Located in the Radius @ Harbor Bay campus, 1350 South Loop is a Class A life science building that was recently converted to lab space on a speculative basis. The upgrades completed last year included capacity for 60% lab and 40% office space. The single-story property features 14’ clear heights (10’ for finished office and lab areas), 1,600 amps at 480V power, new HVAC for lab areas, a new 250kw backup power generator and room for an outdoor equipment pad.

The property’s spec labs feature specialized equipment rooms, single pass air, floor drains, fume hoods, emergency eyewash stations, lab benches and more. A large flex lab area allows for customized space and can support a chemistry lab, biology lab, pilot plant or lab support.

The Radius is situated within Harbor Bay’s growing life science cluster anchored by Abbott Laboratories, Exelixis and Penumbra. The campus sits just off Harbor Bay Parkway and is accessible by ferry service 25 minutes to and from Downtown San Francisco.

According to Newmark Research’s 2022 Mid-Year Life Science Overview & Market Clusters report, The San Francisco Bay Area life science market continues to be the #2 ranked life science cluster in the country, supported by over 33 million square feet of laboratory inventory, continued tenant demand and strong venture capital networks adjacent to Silicon Valley. Bay Area healthcare and life science venture capital funding increased by 19.3% in 1H22 compared with 1H21 – this is a stark contrast to a national slowdown in the venture capital space and is an encouraging sign for tenant demand.

[1] Dba Newmark Knight Frank in California

About Paceline Investors
Paceline Investors is a privately-held real estate investment and development company based in San Francisco that invests alongside and on behalf of institutional and family office investors. Paceline Investors focuses on infill Bay Area commercial real estate where it can create differentiated, modern physical product that appeals to and satisfies today’s end users.

About True North Management Group
True North is an independently owned real estate firm focused on investing in value-add and distressed real estate opportunities in growth-oriented markets. The firm has an established track record across multiple economic cycles and with a broad mix of property sectors through multiple institutional, commingled fund vehicles.

About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues of approximately $3.1 billion for the twelve months ending September 30, 2022. Newmark’s company-owned offices, together with its business partners, operate from approximately 180 offices with nearly 6,700 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

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