Tishman Speyer, Bellco Capital JV raises $3B for life science buys

Breakthrough Properties fund will finance existing developments, new buys

Los Angeles /
Apr.April 29, 2022 01:58 PM
Breakthrough Properties’ Dan Belldegrun, Tishman’s Rob Speyer and Bellco Capital’s Rebecka Belldegrun (Breakthrough Properties, Tishman, Bellco Capital)
Breakthrough Properties’ Dan Belldegrun, Tishman’s Rob Speyer and Bellco Capital’s Rebecka Belldegrun (Breakthrough Properties, Tishman, Bellco Capital)

A joint venture between Tishman Speyer and Los Angeles-based biopharmaceutical investment firm Bellco Capital has raised $3 billion to develop and buy life science properties across the U.S. and Europe.

The limited partnership, dubbed Breakthrough Properties, raised the funds from “institutional investors, sovereign wealth funds and high net worth individuals.” Breakthrough had initially aimed to raise $1.5 billion, when it opened the fund in 2020.

With the new funding, Breakthrough could spend up to $6 billion on development and acquisitions, according to the Financial Times.

“There is an acute and accelerating need for well-located, cutting-edge lab space,” Tishman Speyer CEO Rob Speyer said in a statement.

National average asking rents for lab, research and development space hit $67.05 per square foot annually in the fourth quarter of 2021 — a 7.8 percent jump compared to the prior three months, according to CBRE.

Demand for space is being driven by an acceleration in venture capital funding for life sciences technology and businesses. Since 2016, VC funding for life sciences has grown more than 320 percent to more than $8 billion in the fourth quarter of 2021.

Breakthrough is currently focused on a few core life science markets in the U.S. — Boston, San Diego and Philadelphia — along with Amsterdam and the United Kingdom.

In Boston, the firm is building a 263,500-square-foot property that is fully leased to CRISPR Therapeutics, a public biotech firm. Across the country in San Diego, Breakthrough is developing a 515,000-square-foot research and development campus, part of which is pre-leased to medical tech firm BD.





    Related Articles

    arrow_forward_ios
    Vella's Zach Vella and SWRCC's Dan Langford with 1010 Sandhill Avenue (Vella Group, Southwest Regional Council of Carpenters, LoopNet)
    Carpenters union buys Carson industrial from Zach Vella
    Carpenters union buys Carson industrial from Zach Vella
    TCW's David Lippman with and the City National Plaza at 515 S. Flower Street (David Lippman, City National Plaza)
    TCW inks largest pandemic-era office lease in DTLA
    TCW inks largest pandemic-era office lease in DTLA
    eBay's Jamie Iannone with 455 North Fairfax Avenue (eBay, Google Maps)
    eBay goes brick and mortar on popup for sneakerheads
    eBay goes brick and mortar on popup for sneakerheads
    Jeff Blau with 1755 Argyle St (LinkedIn, Commercial Observer)
    Related Companies to sell Argyle House in Hollywood
    Related Companies to sell Argyle House in Hollywood
    Frank Gehry and the Ocean Avenue Project (Getty, Ocean Avenue Project, iStock)
    Frank Gehry’s long-awaited Santa Monica project takes big step forward
    Frank Gehry’s long-awaited Santa Monica project takes big step forward
    Duke Realty's James Connor and 14724 Proctor Avenue in City of Industry (Google Maps, Duke Realty)
    Duke Realty gets another 230K sf in City of Industry
    Duke Realty gets another 230K sf in City of Industry
    Westmont's Andy Plant and Westmont Village Westmont Living, iStock)
    Senior community nixes industrial development for more residential
    Senior community nixes industrial development for more residential
    FivePoint Holdings' Dan Hedigan (Fivepoints, Ranch on the River)
    FivePoint slashes workforce 29%, posts $37M loss
    FivePoint slashes workforce 29%, posts $37M loss
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...