PHILADELPHIA, PA—Multiple factors are propelling the US life-science industry into a strong expansion, giving major research-and-development centers like Philadelphia some opportunities for attractive growth in the real estate that supports R&D, according to a new CBRE report.

While many US industries are navigating fundamental disruption, the life-sciences industry—which includes pharmaceuticals, biotechnology and medical-device manufacturing—is on a long-term expansion track. CBRE's report examines the generators of the industry's sustained growth, including the aging US population, increases in public and private funding, hefty job gains and robust construction of lab and R&D space.

“Many solid trends support strong growth going forward for the life-sciences sector, especially in major R&D markets,” says Ian Anderson, CBRE director of research and analysis and lead author of the report. “The Philadelphia region is particularly well-positioned with a strong industry presence in University City, the Route 202 corridor, and the Navy Yard, among others. The market for lab space in these submarkets offers several secular growth drivers and constrained supply.”