BioMed Realty Partners With Advanced BioHealing, A Subsidiary Of Shire plc, To Develop Regenerative Medicine Campus In San Diego
SAN DIEGO, June 11, 2012 /PRNewswire/ -- BioMed Realty Trust, Inc. (NYSE: BMR) today announced that it has completed the acquisition of two parcels of land, comprising approximately 28 adjacent acres in San Diego, California for a purchase price of approximately $47 million, excluding transaction costs. Concurrently, the company has entered into a long-term ground lease for both sites with Advanced BioHealing, Inc. (ABH), a regenerative medicine company and a subsidiary of Shire plc, which develops, manufactures and commercializes living cell-based therapies. ABH intends to construct office, laboratory, warehouse and manufacturing facilities totaling in excess of 150,000 square feet on the site commencing by early next year. The site can accommodate future expansion of up to a total of 800,000 square feet.
"We are committed to investing in and expanding our Regenerative Medicine business, and with the signing of this lease we are pleased to confirm and build our presence in San Diego with BioMed Realty as our real estate partner," said Kevin Rakin, Shire's Regenerative Medicine President. "This new campus will give us the flexibility and increased capacity we need to develop and manufacture new regenerative medicine therapies and build our foundation for continued growth in this exciting field."
Alan D. Gold, Chairman and Chief Executive Officer of BioMed Realty, remarked, "This site is very well-located between Alere, Inc. and the Scripps Proton Therapy Center in the Sorrento Mesa life science submarket of San Diego, and should serve as an excellent home for Advanced BioHealing and Shire for many years to come. We are very pleased to enter into this partnership with ABH, which is the culmination of extensive, collaborative efforts by both companies to identify and execute on a real estate solution which will fully support their development and manufacturing needs. We look forward to working closely with the ABH and Shire teams to develop this future multi-phase campus for the development and commercialization of important regenerative medicine therapies. This transaction demonstrates the robust nature of our fully-integrated operating platform and our ability to leverage BioMed Realty's particular skill and expertise in life science real estate for the benefit of our shareholders."
About BioMed Realty Trust
BioMed Realty Trust, Inc. is a real estate investment trust (REIT) focused on Providing Real Estate to the Life Science Industry®. The company's tenants primarily include biotechnology and pharmaceutical companies, scientific research institutions, government agencies and other entities involved in the life science industry. BioMed owns or has interests in properties comprising approximately 12.5 million rentable square feet. The company's properties are located predominantly in the major U.S. life science markets of Boston, San Francisco, Maryland, San Diego, New York/New Jersey, Pennsylvania and Seattle, which have well-established reputations as centers for scientific research. Additional information is available at www.biomedrealty.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. These risks and uncertainties include, without limitation: failure to manage effectively the company's growth and expansion into new markets, or to complete or integrate acquisitions and developments successfully, including the acquisition of ABH land sites; risks and uncertainties affecting property development and construction, including the third party development project at the ABH land sites; the company's ability to meet projected yields on acquired properties and investments, including the ABH land sites; general risks affecting the real estate industry (including, without limitation, the inability to enter into or renew leases, dependence on tenants' financial condition, and competition from other developers, owners and operators of real estate); adverse economic or real estate developments in the life science industry or the company's target markets; risks associated with the availability and terms of financing, the use of debt to fund acquisitions and developments, and the ability to refinance indebtedness as it comes due; failure to maintain the company's investment grade credit ratings with the ratings agencies; reductions in asset valuations and related impairment charges; risks associated with downturns in the national and local economies, increases in interest rates, and volatility in the securities markets; potential liability for uninsured losses and environmental contamination; risks associated with the company's potential failure to qualify as a REIT under the Internal Revenue Code of 1986, as amended, and possible adverse changes in tax and environmental laws; and risks associated with the company's dependence on key personnel whose continued service is not guaranteed. For a further list and description of such risks and uncertainties, see the reports filed by the company with the Securities and Exchange Commission, including the company's most recent annual report on Form 10-K and quarterly reports on Form 10-Q. The company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE BioMed Realty Trust, Inc.