Q2 2022
National Healthcare & Life Sciences Real Estate Investor Update
Key Takeaways from the Q2 2022 Issue:
Medical Office
• Medical office transactions slowed in Q2 2022 compared to the previous quarter. Quarter-over-quarter transaction volume dropped to $2.9 billion from $3.4 billion, a 14% decrease.
• Despite a decrease in transaction volumes during the quarter, the sector’s YTD sales volume has increased by 50.3% since the first half of 2021.
Life Sciences
• Life sciences venture capital funding decreased by 13.3% quarter-over-quarter to $5.8 billion in Q2, but was greater than any other Q2 level prior to 2021.
• Despite caution by small and mid-sized companies, Big Pharma continued to buy up space across the U.S. Overall, the lab vacancy rate of the top 12 U.S life science markets fell by 10 bps in Q2 to 5.2%.
Debt
• Market volatility from rising inflation and interest rates cooled the commercial mortgage market in Q2, characterized by wider spreads and more selective underwriting and loan pursuit.
• Market variability has resulted in select banks “taking a pause”, resulting in less liquidity in other lending segments in the market.
For more information, please contact:
CBRE Healthcare & Life Sciences Capital Markets
Lee Asher
Vice Chairman
+1 404 504 5965
lee.asher@cbre.com
Zack Holderman
Senior Vice President
+1 858 337 9412
zack.holderman@cbre.com
Jordan Selbiger
First Vice President
+1 404 923 1259
jordan.selbiger@cbre.com
Trent Jemmett
Senior Director
+1 858 646 4740
trent.jemmett@cbre.com
Cole Reethof
Associate Director
+1 404 504 7864
cole.reethof@cbre.com
Josiah Gunter
Associate Director
+1 404 504 7936
josiah.gunter@cbre.com
Jesse Greshin
Senior Analyst
+1 860 808 4810
jesse.greshin@cbre.com
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