Research article

Life Sciences: Outlook

What are the top five takeaways from this report?


  • Regardless of the final version of Brexit, the strength and importance of life sciences in the UK will not diminish. It will continue to grow and requires the delivery of all types of commercial floorspace to accommodate growth and meet future demand. Despite the break away from Europe, it will still remain a key trading partner and collaborator for life science and discovery.
  • Future demand will be underwritten by the volume of capital raised during the past couple of years. New areas of life science discovery, driven by the symbiotic relationship with the tech sector, including hardware and software, will enable key locations around the UK to strengthen on a global basis. This includes Oxford and Cambridge.
  • Furthermore, the pull factors of locating in London will strengthen giving life science occupiers the ability to cluster with others and produce synergies and the access to a highly existing and future talent pool. This pool will be driven by graduates from Imperial College London and University College London. However, one must not lose sight of the burgeoning opportunities across the UK, in terms of real estate provision, to capitalise on the growing companies that sit outside of the South East of England. Back to London, the office-to-lab conversation will continue and we will see increasing appetite to convert office space that may not be fit for original purpose.
  • There will be increasing investment appetite for life science-related real estate in the UK. It's not going to be at the top of the 'shopping list' of all investors, as the more traditional sectors of retail, offices and industrials move through their varying cycles. However, there has been increasing interaction, within the past six months, with large global funds looking more closely at deploying capital in the life science real estate sector in the UK and Europe.
  • Importantly, the whole of the UK will need to benefit and create economic growth from the life science sector. Opening up the sector, in terms of collaborations, is key for the UK market going forward. Attracting global organisations, particularly from the US is key as it remains the most globally significant market and source of financial and intellectual capital. The Government has a key role to play in all of this. Then, with even stronger foundations and commitment, the real estate industry will respond to meet the resulting continued growth in the life science sector and create employment and economic growth opportunities.

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