BioMed Realty Plans Life Science Construct in Seattle’s South Lake Union

Blackstone portfolio company BioMed Realty has acquired two adjacent development properties in Seattle’s South Lake Union for a total of 1.8 acres. The packages can support the development of Class A laboratory and office space for life science companies. The terms of the transaction, including the price, were not disclosed.

The development sites are at the epicenter of Seattle’s growing life science market. It’s close to the University of Washington School of Medicine, the Bill and Melinda Gates Foundation, and the Fred Hutch Cancer Research Center, and Amazon, Google, Facebook, and Apple all have offices in the area.

The area has impressive deals. Clarion has partners in December acquired acquired a 70 percent interest in a 322,858 square foot life science portfolio of three buildings for $ 450 million from Alexandria Real Estate Equities. The transaction was the largest in Washington State last year and the first life science core investment opportunity in the market since 2014. The transaction, along with this new BioMed development project, illustrates the market growth. According to Jesse Ottele of Newmark and one of the brokers involved in the Clarion deal, the Puget Sound area ranks third in the country for life science growth for the past five years and capital investments have fallen during that time 120% increased.

This is also not the first BioMed Realty development project in the region. It is currently under construction on Dexter Yard, a 500,000 square foot life sciences and technology office project.

Outside of Seattle is BioMed expand in other major life science markets such as San Diego and Boston. In April the company also did secured Building permission from the City of Emeryville, California to expand their 12 acre campus at the Emeryville Center of Innovation. The project includes 910,000 square meters of new class A, laboratory and office space as well as three hectares of public green space.