Alexandria Real Estate Equities, Inc. Announces 4Q13 Leasing Surpasses 1 Million RSF and Sale of 1600 Owens Street Land Parcel
PASADENA, Calif., Dec. 23, 2013 /PRNewswire/ -- Alexandria Real Estate Equities, Inc. (NYSE: ARE), the leading owner, operator, and developer of high-quality, sustainable real estate for the broad and diverse life science industry, is pleased to announce the execution of 57 lease transactions to date in the fourth quarter of 2013 aggregating approximately 1.2 million rentable square feet (RSF). This very significant leasing activity contributes to overall leasing of approximately 3.5 million RSF in 2013 to date. This strong demand reflects the broad and diverse life science industry's increasing need to locate in Alexandria's Class-A assets in AAA, CBD cluster locations where they can innovate, collaborate, and translate breakthrough discoveries into high-impact, cost-effective products that will save lives, manage disease, and reduce the economic burden of disease on society.
Alexandria's milestone leasing accomplishment was driven by activity in each of its cluster markets, including Greater Boston, the San Francisco Bay Area, San Diego, and New York City for high-quality client tenants, including Celgene Corporation, Google Inc., Massachusetts Institute of Technology, the National Institutes of Health (NIH), Novartis AG, the University of California, San Francisco (UCSF), and the University of North Carolina (UNC). Alexandria also completed a 10-year lease extension with Quest Diagnostics, Inc. for approximately 248,000 RSF at 14225 Newbrook Drive in Virginia.
During the fourth quarter of 2013, Alexandria also closed on the sale of land and certain parking spaces at 1600 Owens Street to Kaiser Foundation Health Plan, Inc. (Kaiser). Kaiser paid approximately $55.2 million for the site, which Alexandria will develop, for a fee, into a world-class medical office building. This sale completes Alexandria's monetization/development of its entire land holdings in the Mission Bay life science cluster.
About Alexandria Real Estate Equities, Inc.
Alexandria Real Estate Equities, Inc. (NYSE: ARE), a self-administered and self-managed investment-grade real estate investment trust (REIT), is the largest and leading REIT focused principally on owning, operating, developing, redeveloping and acquiring high-quality, sustainable real estate for the broad and diverse life science industry. Founded in 1994, Alexandria was the first REIT to identify and pursue the laboratory niche and has since had the first-mover advantage in the core life science cluster locations including Greater Boston, the San Francisco Bay Area, San Diego, New York City, Seattle, Maryland, and Research Triangle Park. As of September 30, 2013, Alexandria's asset base consisted of 29.7 million RSF, including 17.2 million RSF of operating assets and active value-creation projects and 12.5 million additional RSF through future ground-up development projects. Alexandria's high-credit client tenants span the life science industry, including renowned academic and medical institutions, multinational pharmaceutical companies, public and private biotechnology entities, United States government research agencies, medical device companies, industrial biotech companies, venture capital firms, and life science product and service companies. Investment-grade client tenants represented 50% of Alexandria's total annualized base rent as of September 30, 2013. As the recognized real estate partner of the life science industry, Alexandria has a superior track record in driving client tenant productivity, collaboration, and innovation through its best-in-class laboratory and office space adjacent to leading academic medical research centers, unparalleled life science real estate expertise and services, and longstanding and expansive network in the life science community. We believe these advantages result in higher occupancy levels, longer lease terms, higher rental income, higher returns, and greater long-term asset value. For additional information on Alexandria, please visit www.are.com.
SOURCE Alexandria Real Estate Equities, Inc.