Colliers has released its 2026 Life Sciences Market Outlook. After years of rapid growth, the sector is shifting to a more sustainable phase. Venture capital investment has normalized, speculative construction has slowed, and tenant demand is increasingly focused on premier lab environments in leading innovation hubs. Markets such as Boston and San Francisco are adding millions of square feet of lab space, signaling long-term growth potential.
Key takeaways:
Venture capital funding: More than $33 billion in venture capital was completed during the year, which is 25 percent below the 2020-2022 average at the height of the market, with earlier-stage firms securing funding rounds at a slower pace in recent quarters.
Vacancies rising in select markets: Vacancy rates have climbed due to speculative construction outpacing demand. For example, Boston has 16 million square feet of available space, and Philadelphia’s vacancy has increased with new spec
