It was announced on 28th July that GSK will be creating a new flagship R&D centre on the Cambridge BioMedical Campus.
The new 300,000 sqft site will be home to GSK’s R&D operations in the UK, housing 1,000 scientists and creating a new iconic location on Discovery Drive, opposite the new Cambridge South Train Station.
GSK is reported to have planned the relocation from Stevenage as it looks to access directly the ecosystem of biomedical research, patient care and academia which Cambridge can offer. The £400 million centre will see 1,000 members of GSK staff transition from Stevenage to Cambridge by 2029.
Here, Will Brown, Director at Cheffins Commercial Division discusses what this could mean for the local commercial property market and its potential impact on the Cambridge economy.
“GSK’s decision to relocate its R&D operation to the Cambridge Biomedical Campus is a really positive story for Cambridge and, importantly, for the wider commercial property market.
The move is a significant commitment to the city and a great endorsement of what Cambridge has to offer. The combination of world-class science, the University, Addenbrooke’s Hospital and the concentration of leading life science and technology businesses makes Cambridge a location that is difficult to replicate elsewhere.
Cambridge is also fortunate to have a number of genuinely world-class locations supporting this ecosystem. The Cambridge Biomedical Campus sits alongside established research environments such as Granta Park and Chesterford Research Park, which have become home to some of the world’s leading science and technology companies. Together, these locations provide a depth of talent, expertise, research and specialist facilities that continues to make Cambridge such an attractive place for businesses looking to grow.
From a property perspective, GSK’s commitment is also a welcome sign of confidence. The market has been relatively subdued over recent years, with occupiers taking longer to make decisions and generally being more cautious about committing to space. A commitment of this scale demonstrates that, for the right occupier, Cambridge remains a hugely attractive place to invest and grow.
Hopefully, GSK’s move will be the start of further activity. Major commitments like this can provide confidence to other occupiers considering Cambridge, as well as developers and investors looking at bringing forward new space.
There is no doubt the market still has challenges, but the fundamentals of Cambridge remain incredibly strong. We have an outstanding pool of talent, world-leading research and a cluster of innovative businesses that continues to attract companies from around the world.
GSK’s decision is therefore more than just another major transaction. It is a strong vote of confidence in Cambridge and a reminder that the city remains one of the best places in the world to build and grow a science and innovation-led business.
Hopefully, this is the beginning of a more active period for the Cambridge market, with GSK’s commitment helping to demonstrate that the demand for high-quality space and the long-term prospects for Cambridge remain very strong.”
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To contact Will Brown, email [email protected]