LaSalle Acquires Partial Interest in Illumina World Headquarters and Life Sciences Campus in San Diego
SAN DIEGO AND CHICAGO (October 11, 2019) — LaSalle Investment Management (“LaSalle”) announced that it has acquired partial interest in the world headquarters and life sciences campus of Illumina (Nasdaq: ILMN), a global leader in DNA sequencing and array-based technologies. LaSalle made the investment on behalf of its U.S. core open-end real estate fund, LaSalle Property Fund (“LPF”) with the property’s developer, an S&P 500® U.S. equity REIT. This transaction represents LaSalle’s first investment in the life sciences property sector.
Located in the heart of the coastal infill submarket of University Town Center in San Diego, California, the Class A property consists of 793,000 square feet spread across six, state-of-the-art office, lab, and accessory buildings on 44 acres. The property is 100% occupied by Illumina and is under a long-term lease agreement serving as their world headquarters. As part of the transaction, LPF will participate with other campus co-owners to invest in potential future projects that will expand and densify undeveloped land located on the campus site.
Jim Garvey, Portfolio Manager for LaSalle Property Fund, commented: “This acquisition is a strong fit for our portfolio and represents a continuation of our ability to source world-class properties that provide an attractive income return with the potential for significant appreciation. We are pleased to have entered the life sciences sector with a best-in-class partner in a leading life sciences submarket, University Town Center.”
Erick Paulson, Managing Director of Acquisitions at LaSalle, said: “We are excited to acquire this world-class property in a highly strategic location, as San Diego is one of the largest U.S. biotech hubs. The San Diego market is comprised of over 15 million square feet of life science space, supported by strong occupancy and rental fundamentals, and The University of California at San Diego registers as the single greatest source of graduates in biomedical and biological sciences in the nation.”
Steve Bolen, Head of U.S. Healthcare Real Estate at LaSalle, added: “This acquisition aligns LaSalle with a market-leading life sciences property that is uniquely positioned to thrive in the growing field of DNA sequencing and array-based technologies, serving end-users in the research, clinical and applied markets. In addition to its position as a strong life science submarket, University Town Center is widely regarded as the premier medical office submarket within San Diego, given its proximity to four of the MSA’s major hospital campuses, including UCSD Health Jacobs Medical Center, Scripps’ Memorial Hospital La Jolla, Scripps’ Green Hospital, and the VA San Diego Hospital System.
For more than 15 years, LaSalle has been one of the most active private equity investors in the medical office sector and we are excited to make our flagship investment in the life sciences field, with such a high-quality partner and irreplaceable property.”
About LaSalle Property Fund
LPF invests in and manages a diversified portfolio of high quality, stabilized real estate and real estate-related assets in the industrial, multifamily, office and retail sectors in top markets across the United States. Drawing from LaSalle Investment Management, Inc.’s 40-year record of accomplishment of core real estate investment on behalf of sophisticated institutional investors, LPF aims to provide attractive risk-adjusted income returns with the potential for superior long-term capital growth through an investment process and platform that leverages LaSalle’s industry-leading market research.
About LaSalle Investment Management
LaSalle Investment Management is one of the world's leading real estate investment managers. On a global basis, we manage approximately $73 billion of assets in private equity, debt and public real estate investments as of Q1 2021. The firm sponsors a complete range of investment vehicles including open- and closed-end funds, separate accounts and indirect investments. Our diverse client base includes public and private pension funds, insurance companies, governments, corporations, endowments and private individuals from across the globe. For more information please visit www.lasalle.com and LinkedIn.
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