San Francisco, CA — Newmark Knight Frank (“NKF”) as exclusive advisor to BioMed Realty, has arranged $165 million in financing for 5300 Chiron Way in Emeryville, CA. The Class A life science building, which totals 303,509 rentable square feet, is located within BioMed Realty’s campus, known as the Emeryville Center of Innovation.
NKF’s Vice Chairman Ramsey Daya and Senior Managing Director Chris Moritz of the Debt & Structured Finance team in the San Francisco office helped arrange the financing on behalf of the owner, BioMed Realty, a leading provider of real estate solutions to the life science and technology industries.
5300 Chiron Way, as part of a specialized hub for innovation, is 100 percent leased to Zymergen, a prominent science and material innovation company and one of the largest employers in Emeryville. The loan will allow BioMed Realty to invest capital to transform the asset into a specialized and innovative high-tech environment for Zymergen’s dynamic new headquarters location.
“Given BioMed’s reputation and track record, along with Zymergen’s cutting edge technology, lenders expressed significant interest in the financing,” said Daya. “The property presented an opportunity to help fund the development of what is the beginning of one of the most ground-breaking urban infill life science campuses on the West Coast. The lender stood out in a competitive landscape and was able to execute efficiently in a challenging environment.”
The investment market for life sciences real estate has developed over time, with institutional capital starting to actively pursue deals since 2010—now, institutional capital fully understands the prospects of the space and it is one of the most sought after, and discussed, investments, according to NKF’s 2020 Life Sciences: National Overview and Top Market Clusters report. Large and experienced landlords, such as BioMed Realty, continue to dominate the market share in San Francisco. With life sciences spanning 29.8 million square feet, the Bay Area market continues to be among the top urban clusters in the nation.
About Newmark Knight Frank
Newmark Knight Frank (“NKF”), operated by Newmark Group, Inc. is one of the world’s leading and most trusted commercial real estate advisory firms, offering a complete suite of services and products for both owners and occupiers. Together with London-based partner Knight Frank and independently-owned offices, NKF’s 18,000 professionals operate from approximately 480 offices on six continents. NKF’s investor/owner services and products include investment sales, agency leasing, property management, valuation and advisory, diligence, underwriting, government-sponsored enterprise lending, loan servicing, debt and structured finance and loan sales. Occupier services and products include tenant representation, real estate management technology systems, workplace and occupancy strategy, global corporate services consulting, project management, lease administration and facilities management.