While coworking is mostly associated with office jobs, one company is bringing the shared space strategy to the life science sector in Sacramento, California.
Cell therapy company ThermoGeneis is redeveloping a 34-year-old office building at 2890 Kilgore Road into a life science facility for startups. The project was deemed worthy of a 2024 CoStar Impact Award, as judged by real estate professionals familiar with the market.
Companies working on innovative medicines often struggle with limited budgets and a space like this will offer needed resources, according to Chris Xu, CEO of ThermoGeneis.
“Early-stage life science, cell and gene therapy companies face a long and complex path to product commercialization,” said Xu, at a grand opening event in October. “There is a critical unmet need in manufacturing, and that is what we are trying to do here.”
Dubbed IncuStart, new facility offers so-called clean rooms and wet labs, controlled lab environments, as well as offices.
Having a space like this could be critical for the region, because "high-tech space like this is challenging to build and operate," according to Peter Hannan, real estate program manager of acquisitions at the County of Sacramento Real Estate Division.
About the project: The 35,475-square-foot facility is 10 miles from the University of California, Davis, a medical and biotech hub for northern California.
What the judges said: "IncuStart is going to have a huge positive impact on the region as a destination for bioscience startups. Amazing and bold move by Thermogenesis to go in that direction,” said Troels Adrian, executive vice president at the Greater Sacramento Economic Council.
They made it happen: Tom Heacox, executive managing director at Newmark, represented the landlord.
CoStar Market Manager Brian Feller contributed.
This article was updated on Aug. 8 to reflect that the property is 34 years old and the correct spelling for Chris Xu, CEO of ThermoGenesis.