Q1 2025 Lab Market Overview Report
Significant deliveries (1.7M SF in Q1 2025) are expected to keep upward pressure on vacancy rates as new deliveries outpace demand. While many new construction projects will retain high asking rents, they’ll increasingly rely on sizable concession packages to attract tenants.
Sublease activity continues to surge, particularly in South San Francisco and on the Peninsula. Subleases accounted for 52.6% of the largest transactions in the quarter.
Quarterly volume increased significantly from Q1 2024 to Q1 2025, rising from 10 transactions to 24, a 140.0% YoY increase. When compared to the remainder of 2024, average quarterly transactions recorded 28 deals completed.
Sublease activity continues to surge, particularly in South San Francisco and on the Peninsula. Subleases accounted for 52.6% of the largest transactions in the quarter.
Quarterly volume increased significantly from Q1 2024 to Q1 2025, rising from 10 transactions to 24, a 140.0% YoY increase. When compared to the remainder of 2024, average quarterly transactions recorded 28 deals completed.