Key Takeaways
- Life science real estate capital markets activity set an all-time record in 2021, with investment volume climbing to $18.4 billion, reflecting immense investor demand and continued liquidity in the cluster markets.
- The ten largest life science M&A transactions of 2021 accounted for over $130 billion, driven by the continued growth of the world’s largest pharmaceutical and biotechnology firms, such as Merck, Illumina and Thermo Fisher Scientific.
- The venture capital industry’s pivot to life science has propelled funding to a record $43.3 billion in 2021, representing a compound annual growth rate of 21.3% over the past 10 years.
- For Class A product in top urban life science markets, namely Cambridge, South San Francisco, Sorrento Mesa, and South Lake Union, pricing has reached 1000+ PSF in 2021, with high water mark pricing closer to $2000 PSF for best-in-class assets.
