In a sign that one of the strongest life sciences markets in the US is weakening, Alexandria Real Estate Equities is offering for sale a suburban Boston office complex valued at $170 million, a 28% discount, after a softening market changed plans to convert the property to life science labs.
The offered price is nearly a third of that the company paid for the property three years ago, according to a report in Green Street.
The REIT had planned to redevelop the property as lab space for life-science tenants, but demand for lab space in Boston started to soften last year as short-term interest rates increased and venture capital funding evaporated.
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