The life science sector in the Boston metro area outshone its office counterparts during the third quarter with more than 1.6 million sq. ft. of positive absorption which was evenly spread across Cambridge, Boston and the suburban markets. Asking rents increased, reaching a weighted average of $93.75 per sq. ft. (NNN), and vacancy decrease, reaching an all-time low of 1.6%.
Capitalizing on limited available space in the near term, landlords continue to seek and achieve record high rents. The highest price tags in the market are attributed to new, purpose-built lab projects. In East Cambridge, where two ground-up projects are underway with current availability, asking rents have climbed 23.9% in the last 24 months of the marketing campaigns. Asking rents in Boston have also reached triple digits, ending the quarter at $100.00 per sq. ft. (NNN).