In a flash, the chance to get in early has disappeared. The UK life sciences real estate sector has exploded in the past three years, and prices have acted accordingly. A record amount of capital is targeting the sector, investment volumes doubled last year and values have shot up. That means those hoping to find big value growth in a market that has quickly gone from a tiny niche of UK real estate to one of its most desirable asset classes will have to get creative in terms of sourcing and structuring deals.
“Yields on some deals have come in 300-400 basis points in the last couple of years, and we’ve struggled to underwrite some of those super-prime UK yields,” Harrison Street Managing Director and Europe chief executive Paul Bashir told Read the full story here. |