Alexandria Real Estate Equities, Inc. Announces Long-Term 334,000 RSF, Full-Building Lease for the New Lilly Institute for Genetic Medicine at 15 Necco Street in the Seaport Innovation District in Greater Bosto
PASADENA, Calif., Feb. 22, 2022 /PRNewswire/ -- Alexandria Real Estate Equities, Inc. (NYSE: ARE), an urban office REIT and the first, longest-tenured and pioneering owner, operator and developer uniquely focused on collaborative life science, agtech and technology campuses in AAA innovation cluster locations, today announced that global healthcare leader Eli Lilly and Company has signed a 334,000 RSF long-term lease for the development of Lilly’s new state-of-the-art Institute for Genetic Medicine at 15 Necco Street in the Seaport life science submarket of Greater Boston. For more than a decade, Alexandria has provided Lilly with long-term real estate solutions that currently aggregate over 600,000 RSF on campuses across the San Diego, San Francisco Bay Area and New York City cluster locations.
Alexandria has been at the vanguard and heart of developing and growing Greater Boston’s life science ecosystem since 1997 through its curation of essential infrastructure, capital and thought leadership. With Alexandria’s approximately 18 million square foot strategic asset base in Greater Boston and its proven ecosystem-building expertise, the company is uniquely positioned to continue to meet robust immediate demand for its assets from the most innovative and impactful life science companies in the world while providing an important path to accommodate future growth.
"We are immensely proud that our best-in-class development team continues to design and deliver high-quality purpose-built laboratory spaces that support our tenants’ relentless efforts to meet very large unmet medical needs and improve quality of life for patients around the world," said Peter M. Moglia, co-chief executive officer and co-chief investment officer of Alexandria Real Estate Equities, Inc. "15 Necco, designed to be a unique and inspiring facility, represents a critical piece of our remarkable value-creation pipeline, and we are thrilled to bring an anchor tenant to this unparalleled location in the Seaport, where we are pioneering a new life science submarket."
15 Necco, developed in partnership with National Development, is a highly sustainable amenity-rich office/laboratory development that offers a stunning waterfront presence and views of Boston, and will be an iconic addition to the city’s skyline. The facility’s distinctive design is employee centric, prioritizing employee health and well-being and seamlessly blending indoor and outdoor spaces for occupants to take advantage of its waterfront location. Additional features include a dynamic rooftop deck and outdoor green terraces with flexible work areas. 15 Necco provides critical adjacency to Cambridge’s Kendall Square and convenient access to major transportation hubs. The building’s development will also significantly enhance the surrounding Fort Point neighborhood with enriched open space along Boston’s Harborwalk as well as public space on the building’s ground floor, which will include a community touchdown space, retail destinations, healthy eateries and a public work lounge connecting pedestrians and visitors to an expansive waterfront experience of public art, walking paths, a public dock and programmed outdoor spaces adjacent to a planned waterfront park.
Designed to achieve high levels of energy efficiency, the transformative development will rely on a high-performance building envelope, efficient mechanical systems, on-site renewable geothermal energy and a solar array installation. 15 Necco’s resilient design proactively addresses climate risk by elevating the building structure and raising site grades and landscape features above future flood levels to reduce floodwater pathways and protect the building from flood precipitation. The building, which is targeting LEED Gold Core & Shell, Fitwel, WELL and WiredScore Platinum certifications, commenced construction in 2021 and is expected to deliver in late 2023. Lilly has also leased 36,000 RSF at 215 First Street, owned and operated by Alexandria, to support the scale-up of its new Institute for Genetic Medicine ahead of anticipated occupancy at 15 Necco in 2024.
About Alexandria Real Estate Equities, Inc.
Alexandria Real Estate Equities, Inc. (NYSE: ARE), an S&P 500® urban office REIT, is the first, longest-tenured and pioneering owner, operator and developer uniquely focused on collaborative life science, agtech and technology campuses in AAA innovation cluster locations, with a total market capitalization of $44.0 billion as of December 31, 2021, and an asset base in North America of 67.0 million SF. The asset base in North America includes 38.8 million RSF of operating properties and 4.8 million RSF of Class A properties undergoing construction, 8.7 million RSF of near-term and intermediate-term development and redevelopment projects and 14.7 million SF of future development projects. Founded in 1994, Alexandria pioneered this niche and has since established a significant market presence in key locations, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland and Research Triangle. Alexandria has a longstanding and proven track record of developing Class A properties clustered in urban life science, agtech and technology campuses that provide our innovative tenants with highly dynamic and collaborative environments that enhance their ability to successfully recruit and retain world-class talent and inspire productivity, efficiency, creativity and success. Alexandria also provides strategic capital to transformative life science, agtech and technology companies through our venture capital platform. We believe our unique business model and diligent underwriting ensure a high-quality and diverse tenant base that results in higher occupancy levels, longer lease terms, higher rental income, higher returns and greater long-term asset value. For additional information on Alexandria, please visit www.are.com.
About National Development
For over 30 years, National Development has been one of the most active real estate investment and development firms in New England. The firm has developed and/or acquired over 30 million SF across a broad range of product types, creating great places and attractive investments. For more information, visit natdev.com or follow @nationaldevelop on Twitter and Instagram.
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include, without limitation, statements regarding Alexandria’s sustainability goals with respect to the 15 Necco Street building and the potential impacts of 15 Necco on the city and surrounding neighborhoods. These forward-looking statements are based on the Company’s present intent, beliefs or expectations, but forward-looking statements are not guaranteed to occur and may not occur. Actual results may differ materially from those contained in or implied by the Company’s forward-looking statements as a result of a variety of factors, including, without limitation, the risks and uncertainties detailed in its filings with the Securities and Exchange Commission. All forward-looking statements are made as of the date of this press release, and the Company assumes no obligation to update this information. For more discussion relating to risks and uncertainties that could cause actual results to differ materially from those anticipated in the Company’s forward-looking statements, and risks and uncertainties to the Company’s business in general, please refer to the Company’s filings with the Securities and Exchange Commission, including its most recent annual report on Form 10-K and any subsequently filed quarterly reports on Form 10-Q.
CONTACT: Sara Kabakoff, Vice President – Communications, (626) 788–5578, skabakoff@are.com
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Alexandria Real Estate Equities, Inc.
Symbol: ARE
CIK: 1035443
Exchange: NYSE
Founded: 1993 (31 years)
Type of REIT: Equity REIT
Listing Status: Public
Market Capitalization: Large-Cap
REIT Sector: Office
REITRating is REITNote's Real Estate Investment Trust industry-specific rating and ranking system. The overall score is out of ten points, with ten being the best score.
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Last updated: 2024-11-21 - v1.3