LABS Life Science Reit Plc

14 October 2024

LEI: 213800RG7JNX7K8F7525

Life Science REIT plc

("Life Science REIT" or the "Company")

Infleqtion lease completes at Oxford Technology Park

First letting of fully fitted laboratory space, further establishing OTP as a quantum technology hub

Life Science REIT (LSE: LABS), the real estate investment trust focused on UK life sciences properties, announces that it has completed a new lease with Infleqtion (ColdQuanta UK Limited), a quantum technology business, for 7,500 sq ft of fully fitted space at the Innovation Quarter ("IQ") at Oxford Technology Park ("OTP"). Infleqtion is the third quantum technology business to take space at OTP.

It follows an Agreement for Lease which was announced on 27 March 2024 and became effective on completion of the fit out. 

This is the third letting at the IQ and the first letting of fully fitted space at OTP. It has been achieved at a record rent for the park, reflecting the bespoke nature of the fit out. The IQ provides smaller, more flexible space, ideally suited for emerging life science occupiers for whom a fully fitted option is highly attractive. 

In its recent HY24 results announcement, Life Science REIT detailed that it was under offer or in advanced negotiations on £3.2 million of ERV which it expected to capture by March 2025. Following the lease agreed with existing occupier Pro Cam UK Limited at Cambourne Park, announced on 9 October 2024, this transaction reduces the target ERV to be captured by March 2025 to £2.9 million.

Ian Harris, Director of Asset Management at Ironstone Asset Management, the Company's Investment Adviser, said: "Infleqtion is a great addition to OTP where we are successfully building a cluster of AI, quantum computing and technology businesses. This letting demonstrates the appeal of the fully fitted concept and positions us for a roll out elsewhere at the IQ, extending the depth of the offering at OTP, which can now cater to a range of demand from start ups and scale ups, to well established, global science and technology businesses."

Infleqtion uses atomic physics to build quantum computers and to integrate them across networks, delivering an ecosystem of devices and platforms. This next generation of computing power has the potential to transform the life science industry by significantly reducing drug development time and costs and demonstrates the growing interdependence between technology and life sciences.

OTP was acquired by Life Science REIT in May 2022. It comprises six completed buildings totalling 237,900 sq ft alongside 270,100 sq ft of development space. Existing occupiers at the park include The Native Antigen Company, a developer and manufacturer of antigens and antibodies, Oxford Gene Technology, a provider of clinical research and diagnostic solutions, and Oxford Ionics, a leading quantum computing business. 

The IQ covers 69,700 sq ft and comprises eleven units, one is due to launch as a café and co-working venue, in the new year.  It is EPC A rated and is on track to achieve a BREEAM Excellent certification. 

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Notes to editors

Life Science REIT plc is a specialist property business focused on the UK's growing life science sector. The Company's portfolio of assets is located across the "Golden Triangle" of research and development hubs in Oxford, Cambridge and London's Knowledge Quarter and its strategic vision is to become the property provider of choice for life science companies in the UK.

Life Science REIT is addressing the acute demand-supply imbalance for laboratory space in the "Golden Triangle", which is characterised by low vacancy rates and prime rental increases. The UK life science sector itself is underpinned by strong structural drivers, including an ageing population and a supportive regulatory environment as well as the growing interdependence with technology, which is expanding the life science spectrum, driving strong demand for laboratory space.

The Company's diverse portfolio of assets ranges from a 20-acre science park currently under development through to fully let buildings, with an important part of the Company's strategy being the conversion of existing properties to laboratory space.

The Company's investment policy is focused on capital growth whilst also providing a growing level of income.

Life Science REIT trades on the Main Market of the London Stock Exchange under the ticker LABS.

Further information is available at https://lifesciencereit.co.uk. To sign up for email alerts, please visit https://lifesciencereit.co.uk/investors/.