After R&D, real estate costs are among the most significant expenses for life sciences companies. From sophisticated laboratories and compliant manufacturing facilities to modern offices with flexible workplaces—optimized and efficient real estate portfolios are required to uphold business goals while supporting the bottom line. Learn the 3 trends CRE executives say are affecting corporate real estate in the life science industry, based on the report: Rewriting the code of Life Sciences CRE - 2014 Corporate Real Estate Trends for the Life Sciences Sector

1. © Jones Lang LaSalle 2014
Rewriting the code of
Life Sciences CRE
Corporate Real Estate Trends for the Life Sciences Sector
The life sciences industry has experienced major upheavals in recent years. The changing healthcare
landscape, patent cliff, tighter regulations and pricing pressures have forced companies to reconsider their
business models and revamp their organizational structures. These changes inevitably affect corporate real
estate (CRE) operations, demanding innovative solutions that can support the overarching corporate
strategy. However, there are some alignment challenges in life sciences CRE function that limit its
contribution to the leadership agenda.
1. CRE success hampered by a disconnect with C-suite
Among all sectors, life sciences CRE is the least
connected to the C-suite
2. Strong demands for portfolio optimization
Senior leadership demands being placed on CRE
% - Respondents who
reported that these
demands are increasing
Companies
expecting increase
in their portfolios
Companies
expecting decrease
in their portfolios
3. Regional portfolio reshuffle
Life science companies are reorienting their geographical
presence, focusing on opportunities in emerging markets
Major constraints hindering CRE from enhancing
its strategic position
LIFE SCIENCES OTHER INDUSTRIES
56%
37%
33%
26%
22%
Source: Rewriting the code of
Life Sciences CRE
Jones Lang LaSalle www.jll.com/globalCREtrends
38%
59%
46%
25%
13%
14%
C-SUITE
MANAGERIAL
31%
49%
26%
35%
26%
EXECUTIVE
Reporting lines for the global head of CRE
* Excludes operational reporting lines
LIFE SCIENCES
OTHER INDUSTRIES
Increasing the utilization of
existing buildings in the
portfolio
EFFICIENCY COSTS FLEXIBILITY
Transforming the quality of
the portfolio/workplace
81%
Reducing direct
real estate costs
74%
Reducing the run costs of
the real estate portfolio
81%
Enhancing productivity of
the real estate portfolio
LIFE SCIENCES
OTHER INDUSTRIES
66%
74%
Challenging the business
on its presumed space
needs
63%
93%
85%
74%
Presenting scenarios and
solutions to the business
on demand
67%
63%
71%
63%
C-SUITE
COMMITMENT
FINANCIAL
CONSTRAINTS
FRAGMENTED
TEAM
DATA &
ANALYTICS
SKILL SETS/
KNOWLEDGE
BRAZIL
48%
INDIA
40%
RUSSIA
43%
63%
CHINA
72%
%
-%
35%
-39%