
Lab Vacancy Rate Nears 14 Percent
As more life science conversions and new developments were completed without tenants, Greater Boston’s lab vacancy rate rose to 13.7 percent in the first quarter.
As more life science conversions and new developments were completed without tenants, Greater Boston’s lab vacancy rate rose to 13.7 percent in the first quarter.
Greater Boston’s largest lab landlord said vacancies in its local portfolio topped 7 percent in the fourth quarter, but a revival in life science industry expansion plans points to growth in 2024.
In a direct contrast to the office market, where tenants have gravitated to new high-end buildings for lease commitments since 2020, life science developers are finding muted demand for the new crop of lab buildings dotting the local landscape.
Demand for life science space declined in the second quarter as the lab vacancy rate in Greater Boston hit 14.3 percent, according to a brokerage report.