Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting cushmanwakefield.com to read:%0A%0A {0} %0A%0A {1}
life sciences life sciences

Insights

Life Sciences Update: March 2023

GET THE FULL REPORT

Accelerated growth in the life sciences sector has translated into double-digit rent growth, single-digit vacancy rates, and strong investment flows in the last ten years.
With the gold-rush sentiment of 2021 largely subdued in 2022, many are asking where the sector is headed. As the sector matures, double-digit growth may ebb and will be replaced by a more muted growth environment. Investment continues to flow into the life sciences sector, and while the peak of 2021 funding and growth may not be replicated in the short term, the sector will continue to grow in the long term.
This Life Sciences Update breaks down the current trends in the life sciences industry by exploring:
  • Market-by-Market Analysis
  • Rising Risk Factors
  • Fundamentals Remain Strong
  • Labor Demand Remained Robust in 2022
  • Funding Fell from Peak Levels
  • Clinical Trial Activity Driving Future Demand
  • Emerging Markets

Life Sciences Market-by-Market Analysis

Select each city on the map below to view an in-depth life sciences market summary.

Several global markets have developing life sciences sectors of note. Some of the characteristics these markets share include a growing number of life sciences companies, government initiatives and support, historical sector performance, investment, R&D activities and employment. Read more about emerging life sciences markets.


INTERESTED IN MORE?

Read the full report and explore the market-by-market analysis.
Get the Full Report
The overall U.S. vacancy rate has ticked up 70 basis points (bps) to 9.2% year-over-year (YoY). Sublease space has also ticked up, rising 60 bps YoY, but remains relatively constrained at 1.6%. 

Annual rent growth was strong across most markets, growing by double digits in nine of the 15 markets tracked. Vacancy rates remain low in most markets, with nine of the 15 markets falling below 10%.

Life sciences job postings grew across all three major markets, as employers continued to seek talent to fill open positions: U.S. up 30% YoY, Canada up 52% YoY and UK up 15% YoY. 

Global life sciences venture capital (VC) funding and initial public offering (IPO) markets experienced a slowdown in 2022. Funding totaled $66.6 billion, down 45% from peak 2021 levels. Read more about Life Sciences Funding in our recent Life Sciences Funding In View article.

Excluding 2021, there were more ongoing trials in 2022 than any other year in the past two decades.  Currently, there are approximately 44,500 active clinical trials among the markets tracked by Cushman & Wakefield. 

Previous Reports

Download previous Life Sciences Update Reports

Authors

Subscribe to Life Sciences Insights
Get the latest in Cushman & Wakefield's Life Sciences research and commentary.
Subscribe Learn More

Related Insights

Life-Sciences-Funding-in-View-web-card
Article • Lab

​​Life Sciences Funding in View​

Private capital funding has accelerated growth in the life sciences sector over the last decade. Billion-dollar raises were not unheard of, even in the more difficult funding environment of 2022.
Sandy Romero • 2/1/2023
Life-Science-Update-Finding-Talent-webcard-v2
Article • Lab

Life Science Update: Finding Talent and Fostering New Ideas

Encouraging collaboration to formulate new ideas and creating access to skilled talent remain priorities for life sciences companies. Among current life science industry trends, there are several hot locations for the life sciences, as well as a focus on amenities that spark ‘spontaneous interactions’.
Rachel Park • 10/19/2022
LifeSciences-Checklist_card
Article • Lab

Does your building qualify for a life sciences conversion?

Interest in converting assets for life sciences use is growing amongst building owners. Cushman & Wakefield’s Project & Development Services team developed basic building performance criteria based on the minimum standards that life sciences companies typically require. 
Eric Giles • 7/25/2022

Interested in learning more?

Get in touch and we can assist with any additional information you need.
Contact Us

With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on  Cookies

More Options
Agree and Close
These cookies ensure that our website performs as expected,for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Cookie preferences
Agree All
Reject All
SAVE SETTINGS
Essential
Non Essential
Marketing