mattyt36 Posted February 4, 2022 Share Posted February 4, 2022 2 hours ago, Lux said: In mid 2021, Alexandria Real Estate Equities, Inc. (ARE) executive chairman Joel Marcus likened the current state of Houston commercial life science to that of NYC 20 years ago. “Houston's a little like New York used to be. Maybe it's the closest because they have multiple institutions. They do have a location now in Texas Medical Center which they're trying to coalesce around those institutions. The reality though is in Houston right now, there are not many scientists or academicians or political people who have any experience in translating science. And you really need that. I mean, the Bob Langers of the world out of MIT. Literally none of those exist in Houston. Houston's got world-class clinical, that's really their thing. But there are no rock star scientists in the sense of not many Nobel Prize winners or people like that. That doesn't mean there couldn't be over the next generation. And there's almost no risk capital. Even though there's oil, that industry's taking it on the chin. And there's very little management and talent that you can hire. So Houston would still be extremely early on, where New York was 20 years ago.” In the company’s recent Q4 earnings call, an analyst’s question on rumored Texas market entry yielded the following response from Mr. Marcus: “And I think the final market you asked about was Texas. So for a variety of legal reasons, I can't say anything until the first quarter, and we'll talk about that. But much like New York, when we started in New York, we really spent before we opened the Alexandria Center for Life Science in 2010, we had started an effort in New York back in 2001 as part of Sandy Wild's effort to bring commercial life science to New York City, where none literally existed. And I would say the same is true of Texas. Literally, no real presence of commercial life science down there today, but our intent is to create a market and really bring early-stage commercial life science to Texas, much like we did in New York. So with that, hopefully, long-winded answer.” Connecting the dots, one would surmise that ARE is likely preparing to enter the Houston life sciences CRE arena. Whether this would be through participation in currently emerging campuses (TMC3, Levit Green) or through a new build is purely speculative at present — technically, geographic placement within the state is less than certain as well. Regardless, ARE’s Lone Star moves signal a desire from a major player to get in early and shape the Texas commercial biosciences ecosystem. Positive news for Texas (and hopefully Houston) life sciences CRE! Well that second quote is much more promising than the first (which I guess came from Alexandria Chairman Joel Marcus On Emerging Cities, Megacampuses And 'Hucksters' (bisnow.com)). If their market outlook did change between summer 2021 and now, well the TMC must be doing something right. 2 Quote Link to comment Share on other sites More sharing options...
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