Denver-Boulder: The Rising Life Sciences Hub
The Denver-Boulder region is quickly establishing itself as a leading hub for the life sciences industry, attracting companies that specialize in cutting-edge medical treatments and technologies. This growth can be attributed to several factors, including a surge in venture capital and government funding, a collaborative research environment, and a booming market for lab space.
One major player in the real estate sector, BioMed Realty, recently made headlines with its $625 million purchase of Flatiron Park in Boulder. This massive complex, spanning 1 million square feet across 23 buildings, is being converted into state-of-the-art lab and tech spaces to meet the region’s increasing demand. Tim Schoen, CEO of BioMed Realty, praised Boulder’s innovation ecosystem, which includes research universities, scientists, venture capital, and critical infrastructure providers like BioMed Realty.
According to CBRE, the commercial real estate group, there is a growing demand for lab space in the Denver-Boulder market. In 2023 alone, 14 companies were seeking a cumulative 506,000 square feet of lab space. Additionally, the market saw the completion of 370,000 square feet of move-in ready lab space, with another 560,000 square feet currently under construction or renovation.
Investors are taking notice of the Denver-Boulder region’s potential. Elyse Blazevich, president and CEO of the Colorado Bioscience Association, highlighted that investors from both Colorado and the coasts are seeing opportunities in the area. Funding for pre-seed ventures, series A, and series B rounds has increased significantly from 2022 to 2023. Series A and series B funding alone grew by $53 million, a 28% increase year over year. Pre-seed funding also experienced substantial growth, surging by $18 million or 163% during the same period.
CBRE’s recent report identified Denver-Boulder as the top U.S. life sciences real estate market, driven by record investments from venture capitalists and the National Institutes of Health. Furthermore, the region’s pool of qualified life sciences workers has been growing at a much faster rate than the national average. Over the past five years, the number of qualified workers in the field has increased by 35%, compared to the national growth rate of 16%.
The Denver-Boulder region’s success in attracting venture capital and fostering entrepreneurial growth builds on its track record of success over the past few decades. One notable success story is Array BioPharma, a biotech company co-founded in Boulder by Kevin Koch in 1998. In 2019, Pfizer acquired Array BioPharma for a staggering $10.64 billion. Today, Koch is the co-founder and CEO of clinical-stage startup Edgewise Therapeutics, which develops therapies for rare muscle disorders. Edgewise Therapeutics raised over half a billion dollars through venture capital firms and plans to expand its presence in Boulder.
Aurora, Denver’s largest suburb, is at the forefront of life sciences research in the region. It is home to the University of Colorado’s Anschutz Medical Campus, which receives $700 million in annual grant funding. The campus’s Center for Drug Discovery, led by Professor Dan LaBarbera, aims to accelerate the process of moving innovation from academia to industry and ultimately to the clinic. The center utilizes state-of-the-art technology, including robots and 3D bioprinters, to develop drugs for various diseases. This technology has significantly shortened the drug discovery timeline from 10-15 years to just 6-8 years. The center collaborates with startups and existing companies to bring innovative therapies to patients efficiently.
The Denver-Boulder region’s rise as a leading life sciences hub is driven by a combination of factors, including ample funding, a collaborative research environment, and a growing market for lab space. With its strong ecosystem of research universities, scientists, venture capital, and critical infrastructure, the region is attracting both investors and top talent. As the life sciences industry continues to thrive in Denver-Boulder, we can expect further advancements in medical treatments and technologies that will benefit people’s health and quality of life.
