Take-up of science-related real space across the ‘golden triangle’ of London, Oxford and Cambridge was 6% down last year on 2022 at 1.3m sq ft, according to new data from Savills.
Despite the year-on-year fall, last year’s figure was still 14% above the five-year average, with take-up of laboratory space hitting record levels in Cambridge (346,000 sq ft) and Oxford (300,000 sq ft).
Total take-up in these markets, including offices, was 638,000 sq ft in Cambridge and 472,000 sq ft in Oxford. In London, 97,000 sq ft of lab space transacted last year, with total science related take-up in the capital – including lab and office space – reaching 194,000 sq ft.
Notable transactions for the year included Biomed leasing the whole of Building 960, totalling 38,000 sq ft, at Babraham Research Campus in Cambridge and Moderna pre-letting a 145,000 sq ft R&D facility at Harwell Campus in Oxford (pictured). In London, there was just one lab deal over 15,000 sq ft, with hVIVO acquiring 39,000 sq ft at 40 Bank Street Canary Wharf.
Tom Mellows, head of UK science at Savills, said: “Overall 2023 has been a positive year for the sector, despite ongoing economic headwinds. Looking ahead, the final quarter of 2023 saw a flurry of announcements, including the autumn statement, that looked favourable for investment by corporates already in the UK and those looking to enter the market.
“Looking ahead, in 2024 we will see the delivery of the first larger purpose-built lab space in London, which should help to accelerate take-up in the capital. With all this in mind, we continue to see positive levels of demand and expect to see an uptick in activity once key developments complete in all three locations next year and into 2025.”
