The adMare BioInnovations M4 Innovation Centre, located in Vancouver’s Mount Pleasant neighbourhood, opened in April 2026.CBRE/adMare
British Columbia’s growing life-sciences sector is creating a new commercial real estate opportunity, but the specialized requirements of biotech companies mean developers face a different and more complex building challenge than conventional office or industrial developments.
Aspect Biosystems, a Vancouver-based biotechnology company, develops therapies designed to restore or supplement biological functions in the body and to offer functional cures to several diseases. The company recently announced a $280-million expansion, supported by $79-million in federal funding, to complement a separate $200-million co-investment from the federal and British Columbia governments in 2024.
According to Vancouver-based non-profit Life Sciences British Columbia, the province’s life-sciences sector generated approximately $4.6-billion in revenue in 2024, a 27 per cent increase from 2021. That same year, life-sciences companies in B.C. secured approximately $700-million in venture capital.
The interest in the life-sciences sector extends across Canada, with some provincial organizations and governments bullish on investment in the space. For example, Ontario’s Life Sciences Innovation Fund (LSIF) provides early-stage capital to companies in the sector, while the Government of Quebec is providing nearly $271.5-million for its renewed Quebec Life Sciences Strategy between 2025 to 2028.
Today’s landscape
Alain Rivère, senior vice-president of the High Technology Facilities Group at CBRE in Vancouver, says the life-sciences sector boomed after the pandemic, but investment has normalized over the past two years. “We had massive investment and funding happening in the sector, and that propelled much real estate development, particularly in the Mount Pleasant area,” he says.
Despite interest, the sector faces a unique challenge: access to lab space, according to John Waslen, associate vice-president at Colliers in Vancouver.
“Supply of quality, built-out lab space is extremely limited, and it’s often leased before it ever reaches the open market,” he says. “At the same time, there’s no shortage of demand at the smaller end of the market.”
New graduates from local universities start new companies every year, consistently absorbing smaller blocks of lab space, Mr. Waslen says, adding that the real challenge comes when these companies are ready to scale into larger spaces. For example, a startup may initially only need 2,000 or 3,000 square feet, but may not be in a position to commit to a larger space in the years before it requires it.
Mr. Rivère says the life-sciences sector is cyclical, with tenants outgrowing their space and moving to expand, leaving vacancies for smaller companies. He notes that smaller and medium-sized companies make up most of the current demand.
To secure financing, developers often need to secure pre-leases for as much as 50 per cent of a building, Mr. Waslen says. For a 200,000-square-foot building, that could mean finding tenants that occupy about 100,000 square feet before construction begins. Pre-lease agreements can also require tenants to commit three to four years in advance, indicating the steps required before spaces become readily available.
“Without enough larger tenants in Vancouver’s market, it makes it very difficult for developers to clear that hurdle and get projects moving,” he says.
The 30,000-square-foot adMare M4 Innovation Centre includes turnkey wet labs, office space, shared scientific equipment and a flexible design that can evolve as companies grow.CBRE/adMare
Building for biotech is complex and expensive
Depending on the starting point and specific facility requirements, building costs can vary widely.
For a new construction, a vivarium can cost roughly $800 to $1,200 per square foot, a chemistry lab approximately $500 to $800 per square foot, and office and common areas roughly $100 to $300 per square foot, says Brad Cowden, partner and senior client executive at Fusion Projects, an active design-build firm specializing in commercial construction. These are hard construction costs alone before considering demolition, building infrastructure upgrades, professional fees and laboratory equipment.
A proper lab build-out requires much more than a conventional office, explains Mr. Waslen. Fume hoods, specialized HVAC, ventilation, emergency power and higher electrical capacity all require significant capital and time to install. Lab tenants also often have specific requirements for air changes, exhaust, floor loading and ceiling heights that a regular office building isn’t designed to accommodate. This is part of the reason why converting a conventional office building into a life-sciences space can be difficult.
It’s a much bigger engineering feat, which is why many developers seek anchor tenants to kick-start new projects, Mr. Rivère says.
For smaller companies, this creates a catch-22: they need purpose-built space to grow, despite developers needing substantial tenant commitments before they can finance construction.
National life-sciences organization adMare BioInnovations’ recently completed M4 Innovation Centre in Vancouver’s Mount Pleasant neighbourhood is helping to bridge this gap, offering purpose-built space for early-stage and growing life-sciences companies.
British Columbia’s capacity for further growth
B.C. has a strong talent pipeline for the life-sciences sector and is home to world-class institutions such as the University of British Columbia, British Columbia Institute of Technology and Simon Fraser University.
Biotech companies in Vancouver’s growing Mount Pleasant neighbourhood include Aspect Biosystems, AbCellera, Zymeworks and STEMCELL Technologies, alongside hospitals such as Vancouver General Hospital and Mount Saint Joseph Hospital.
“What we have happening in Vancouver is a very vibrant biotech sector that is clustered in areas around the Greater Vancouver area,” says Wendy Hurlburt, president and CEO of Life Sciences BC. “In addition to advancing their own innovations, these organizations are playing a huge role in attracting and developing talent.”
At a macro level, British Columbia has the capacity to sustain further industry growth, provided land policies support this expansion, she says. Continued infrastructure and policy investments are also needed to foster a competitive environment for companies to remain and grow in Canada, she adds.
For Mr. Rivère, the life-sciences landscape offers promising prospects for further growth.
“We’re past the beginning phase. It’s established and growing – Vancouver is now a global player,” he says.