Cambridge Q1 life sciences take-up hits record high

Life sciences take-up in Cambridge hit its highest Q1 level this year, according to Savills. Savills tracked 200,000 sq ft of offices, laboratories and office space set to be converted into labs, let in Cambridge over the first three months of 2024. Over the same period in 2023, take-up of life science-related space in Cambridge reached 149,000 sq ft. Across the Golden Triangle markets of Cambridge, Oxford and London, some 424,000 sq ft was let during the first quarter of this year, the agent’s most recent research showed. The figure is the second highest recorded in the past five years, following last year’s record of 479,000 sq ft. Greater take up of space in Cambridge reflects larger deal sizes, demonstrating the maturity of science occupiers within the city. Key deals included Welbeck Health Partners taking 32,000 sq ft at the Howard Group’s Unity Campus, along with Conduit Pharmaceuticals taking 2,000 sq ft at Cambridge Science Park. Oxford also experienced a strong start to the year, with take-up reaching 182,000 sq ft. Although this is a drop on last year’s figure of 275,000 sq ft, the Q1 2023 total was skewed by the 145,000 sq ft pre-let to Moderna at Harwell Science and Innovation Campus. Among the notable deals in the region was Oxford Nanopore taking 13,000 sq ft at the Sherard Building on Oxford Science Park. In London, take-up of science related space totalled 42,000 sq ft, largely on a par with Q1 2023 and dominated by early-stage venture capital funded occupiers. Savills anticipates good activity this year within Cambridge, with 185,000 sq ft of requirements currently touring buildings. In Oxford, another 100,000 sq ft is currently under offer, with active requirements of 450,000 sq ft from 41 companies. For the capital, Savills predicts 2024 will be key for labs, with the first wave of purpose-built development due to be delivered this year and into 2025. Tom Mellows, head of UK science at Savills, said: “It has certainly been a positive start to the year in Oxford and Cambridge, but London has been more impacted by restricted venture capital flows, creating a cautious approach to real estate commitments from some occupiers. “It has been encouraging to see other forms of corporate investment, particularly from big pharma stepping in to support the sector and we are anticipating the venture capital market starting to free up later in the year.” Check out lettings in Cambridge >> Photo © Louis Reed/Unsplash