Exploring The Intersection Of Science And Technology At Bisnow’s LA Life Sciences CRE Summit

Despite reports that some California markets may have built more lab space than they can handle, in Los Angeles, demand remains strong. 

Not only does the LA life sciences market generate $27.3B in annual economic activity and employ more than 122,000 people, but its lab vacancy rate is also at 3%, far below the average 14.4% life sciences vacancy rate seen in other major national markets.  

Of course, not all lab space is created equal, and to keep up with rapidly changing technology, today’s facilities need to be as flexible as possible. David Oh, regional director of science and technology at Boulder Associates, understands this pressing need and the connection between lab spaces, science innovation and technology. 

“I have both a science and technology background spanning more than 30 years, and it’s always interesting to see how these two industries drive each other,” Oh said. “Now is a particularly exciting time to bring people together to talk about the opportunities that are out there for both sectors and how they can work together to encourage innovation.”

Oh will speak at Bisnow’s Los Angeles Life Sciences Commercial Real Estate Summit on Sept. 17. Register here.

Bisnow spoke with Oh to learn more about the challenges the LA life sciences market is facing as it attempts to create facilities that can accommodate the technology of the future. 

Bisnow: What new market trends have you noticed in LA's life sciences sector this year? 

Oh: While there is a lot of venture capital coming into the LA market, it’s not really going into real estate. It’s going toward innovation in the technology and life sciences sectors. That being said, investment in research and development is still strong, and the area still offers some of the highest wages for researchers and scientists in the country, so I believe the sector will continue to grow. 

We’re also seeing local higher education facilities implement more programs to bolster new talent and the next generation of scientists in LA, which should further spur innovation in the area. 

Bisnow: How can advancements in science and tech influence design and even the functionality of life sciences facilities to better meet user needs?

Oh: Two decades ago, when more research and development facilities and laboratories were on the rise in the area, us designers and contractors were focused on how to make them more flexible. Over the years, we've done a great job of creating these flexible labs, and it is now easier for scientists to retrofit the spaces they have to meet their current needs. 

However, we couldn’t have predicted all of the new technologies that would come on the market, particularly artificial intelligence, and so adapting spaces to suit that technology is always going to be a challenge because it is constantly evolving.

Every day, there's a significant change, so today we are focused on how to build in the infrastructure a facility needs to support this technical revolution. We’re embracing a modular approach, since that allows for the most flexibility, not only for clean rooms and lab work but also for the manufacturing component involved with a lot of these new companies providing the facilities with the demanding schedule.

What is key is making space for the future and being able to adapt to all the security/monitoring systems, data storage, energy storage and even the building HVAC and electrical systems companies are developing for the future.

Bisnow: What challenges is LA's life sciences sector seeing this year, and how is the industry prepared to handle these challenges?

Oh: The primary challenge remains financial. Companies need funding to sustain their research and innovation efforts, and they are all in competition with one another for those resources. Another significant challenge is preparing for future technology. Integrating new technologies into a laboratory can be costly and often requires substantial modifications.

Additionally, sustainable design presents a persistent challenge. While there is frequent discussion about improving building efficiency and sustainability, the regulatory approval process in LA is notoriously slow, and the city's infrastructure is inadequate. This situation is akin to the broader issue with electric vehicles nationwide. Despite government encouragement to transition to EVs, the supporting infrastructure is lagging and causing delays. Similarly, building more sustainable facilities will remain challenging until the city streamlines its regulatory process.

To hear more from Oh, register to attend the Los Angeles Life Sciences Commercial Real Estate Summit on Sept. 17. 

This article was produced in collaboration between Boulder Associates and Studio B. Bisnow news staff was not involved in the production of this content.

Studio B is Bisnow’s in-house content and design studio. To learn more about how Studio B can help your team, reach out to studio@bisnow.com.