GI Partners Secures $213.4MM in Financing for 325,977 SQFT Bay Area Life Science Portfolio

GI Partners, JLL, South San Francisco, San Carlos, Stanford, University of California San Francisco, Alexandria Real Estate

(EDITOR’S NOTE: According to previous reporting from The Registry, the properties were sold by Alexandria Real Estate for a combined $388 million. The property at 7000 Shoreline Court sold for $170 million, the property at 71-725 Shoreway Road sold for $88 million and the property at 341-343 Oyster Point Boulevard sold for $130 million.)

NEWPORT BEACH, Calif.  – JLL Capital Markets announced today that it has arranged $213.4 million in financing for a five-building life sciences portfolio totaling 325,977 square feet in South San Francisco and San Carlos, California.

JLL worked on behalf of the borrower, an affiliate of GI Partners, to secure the seven-year, fixed-rate loan through a life insurance company. Loan proceeds were used to finance the assets acquired via a recent sale arranged by JLL.

The portfolio consists of one building at 7000 Shoreline Ct. in South San Francisco, two buildings at 341-343 Oyster Point Blvd. in South San Francisco and two buildings at 75 and 125 Shoreway Rd. in San Carlos. All three properties are located along U.S. 101, in one of the world’s strongest life sciences markets with excellent access to venture capital, intellectual capital and premier research-oriented universities such as Stanford and University of California, San Francisco.

According to JLL’s 2022 Life Sciences Lab Real Estate Outlook, venture funding continues to explode in the Bay Area and as a result South San Francisco and San Carlos are ranked among two of the strongest life sciences submarkets in the country with just a two percent vacancy rate.

Built or renovated between the years of 2001 and 2006, the portfolio offers Class A buildouts with an emphasis on quality and use flexibility. The buildings are fully operational today for research, manufacturing and biotechnology uses, offering lab space for both emerging and established tenants. The portfolio is fully leased with 4.3 years of weighted average lease team with 57% of the property’s rent roll comprising publicly traded companies.

The JLL Capital Markets Debt Advisory team that represented the borrower was led by Executive Managing Director Kevin MacKenzie, Managing Directors Brian Torp and Alex Witt and Associate Samuel Godfrey.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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