Global real estate investor Ivanhoé Cambridge and Lendlease, a global real estate and investment group, have joined forces to launch a life science joint venture that will deliver state-of-the-art labs, offices and manufacturing spaces in high-growth life science clusters across the U.S. Leveraging the success of their partnership to develop 60 Guest Street in Boston, Lendlease and Ivanhoé Cambridge plan to invest an initial $500 million of equity with aspirations to grow the portfolio through additional equity investments over time.
The partnership will focus on development opportunities while exploring retrofits in select clusters including the Boston, San Francisco Bay Area and San Diego markets. Additional targets including the New York/New Jersey metropolitan region, Philadelphia, Chicago, Los Angeles and Orange County.
Ivanhoé Cambridge will be the majority partner in the venture while Lendlease will lead development and oversee construction on all projects, incorporating both firms’ aggressive sustainability goals.
“We are excited to launch this new investment vehicle for ground-up life science projects with a like-minded partner that has the proven-track record to deliver high-quality sustainable innovative projects,” said Jonathan Pearce, executive vice president, leasing and development, North America at Ivanhoé Cambridge. “This partnership will also allow Ivanhoé Cambridge to deepen its footprint in the life science sector, which has long-term growth fundamentals, while supporting our organization’s strategic portfolio diversification.”
“This partnership brings together Ivanhoé Cambridge’s world-class investment expertise with our experience operating across the life sciences sector,” said Denis Hickey, Lendlease global chief operating fficer and chief executive officer-Americas. “Together, we are uniquely positioned to deliver state-of-the-art lab, office and manufacturing space while expanding development capabilities in a high-growth asset class.”
Ivanhoé Cambridge and Lendlease’s first joint life science development project, 60 Guest Street, is scheduled to break ground in spring 2022, with completion expected in 2024. The nine-story, 320,000-square-foot life science facility in Boston’s Allston/Brighton neighborhood will include lab and office space as well as a robust amenity program.
