Key Takeaways
- • Breakthrough Properties closed its first dedicated life-science real estate fund at $3 billion in fund and co-investment capital, roughly double its initial $1.5 billion target, according to the company's press release.
- • The fund is described as the largest real estate fund dedicated exclusively to the life sciences sector, excluding recapitalizations of existing portfolios, per CBRE and JLL Research.
- • The capital was raised from institutional investors, sovereign wealth funds and high net worth individuals across four continents.
- • Breakthrough, formed in 2019 as a joint venture of Tishman Speyer and Bellco Capital, will deploy the proceeds into a pipeline of about 4.6 million square feet across San Diego, Boston/Cambridge, Philadelphia, Amsterdam and Oxford/Cambridge, UK.
Summary
Breakthrough Properties has closed its Breakthrough Life Science Property Fund with $3 billion in fund and co-investment capital, surpassing the initial $1.5 billion target. According to the company's announcement and CBRE and JLL Research, the vehicle is the largest real estate fund dedicated exclusively to the life sciences sector, excluding recapitalizations of existing portfolios. Debevoise advised Breakthrough on the closing. Speyer, a Los Angeles Business First coverage thread cited by the publisher, described the outcome as a very unusual result for a first-time fund.
The capital was drawn from a diverse investor base of institutional investors, sovereign wealth funds and high net worth individuals spanning four continents. Breakthrough will use the proceeds to finance ongoing developments in various stages of design, construction and pre-development, and to pursue additional opportunities in the United States and Europe.
Breakthrough, founded in 2019 as a joint venture between Tishman Speyer and Bellco Capital, reports 4.6 million square feet of projects in its pipeline across San Diego, Boston/Cambridge, Philadelphia, Amsterdam, Oxford and Cambridge, UK. Its portfolio includes The 105 by Breakthrough in Boston, fully leased to CRISPR Therapeutics, and Torrey View by Breakthrough, a 515,000-square-foot, 10-acre campus in San Diego that broke ground in 2021 and signed a major prelease with the biosciences arm of BD (Becton, Dickinson and Company). The Torrey Plaza office-to-lab conversion in San Diego is leased to Tandem Diabetes Care, Janux Therapeutics and Protego Biopharma.
Co-founder and CEO Dan Belldegrun said the company was founded three years ago to create cutting-edge environments for life sciences entrepreneurs and researchers. Tishman Speyer CEO and Breakthrough Co-Chairman Rob Speyer cited an acute and accelerating need for well-located lab space, and Bellco Chairman and Breakthrough Co-Chairman Arie Belldegrun said the platform combines infrastructure with mentorship, innovation space and access to venture capital. Breakthrough targets LEED Gold certification at its U.S. properties and BREEAM Outstanding certification across its UK and EU projects.
The capital was drawn from a diverse investor base of institutional investors, sovereign wealth funds and high net worth individuals spanning four continents. Breakthrough will use the proceeds to finance ongoing developments in various stages of design, construction and pre-development, and to pursue additional opportunities in the United States and Europe.
Breakthrough, founded in 2019 as a joint venture between Tishman Speyer and Bellco Capital, reports 4.6 million square feet of projects in its pipeline across San Diego, Boston/Cambridge, Philadelphia, Amsterdam, Oxford and Cambridge, UK. Its portfolio includes The 105 by Breakthrough in Boston, fully leased to CRISPR Therapeutics, and Torrey View by Breakthrough, a 515,000-square-foot, 10-acre campus in San Diego that broke ground in 2021 and signed a major prelease with the biosciences arm of BD (Becton, Dickinson and Company). The Torrey Plaza office-to-lab conversion in San Diego is leased to Tandem Diabetes Care, Janux Therapeutics and Protego Biopharma.
Co-founder and CEO Dan Belldegrun said the company was founded three years ago to create cutting-edge environments for life sciences entrepreneurs and researchers. Tishman Speyer CEO and Breakthrough Co-Chairman Rob Speyer cited an acute and accelerating need for well-located lab space, and Bellco Chairman and Breakthrough Co-Chairman Arie Belldegrun said the platform combines infrastructure with mentorship, innovation space and access to venture capital. Breakthrough targets LEED Gold certification at its U.S. properties and BREEAM Outstanding certification across its UK and EU projects.
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