The life sciences sector has been present in Philadelphia for decades, though the past decade has made the city synonymous with the forefront of medical discovery. The emergence and growth of cell and gene therapy as well as the creation and application of mRNA technologies in vaccines and therapies has fueled National Institutes of Health (NIH) funding into the region’s research institutions, notably Drexel University, Temple University, and the University of Pennsylvania (Penn). Within these institutions’ academic graduate labs (grad labs), new research discoveries are made, and new companies are created.
In time, these companies matriculate from their academic beginnings to commercial spaces. Co-lab and incubator spaces are often thought of as launching pads; temporary, functional spaces that allow small companies to stretch limited cash reserves as they focus on furthering intellectual property.
What is left undefined is how long is “temporary.” Today co-lab and incubator providers have limited vacancies, yet life science leasing activity has considerably slowed over the last 12 months. This suggests companies may be utilizing co-lab and incubator space for long-term growth as well as short- to mid-term resource preservation.
