Puget Sound Life Science Figures H2 2025

The Seattle life sciences market saw a continued shift in fundamentals in the second half of 2025, with total vacancy rising to 21.2% and negative net absorption totaling 97,208 sq. ft. for the year. Class A direct asking rents edged lower in Seattle Close‑In, ending the year at $69.83 per sq. ft., NNN, while Bothell rents held steady at $42.00 per sq. ft, NNN.

Submarket performance varied. Seattle Close‑In vacancy increased as tenants downsized, and additional built-out supply delivered. Bothell vacancy remained flat for the second consecutive quarter, supported by more than 125,000 sq. ft. of leasing by SystImmune and AGC Biologics, with both occupying in late 2026. In Bellevue, the city’s land use update allowing life science R&D in the Wilburton district was followed by initial approval for Alexandria’s planned campus. Totaling over 888,000 sq. ft., this could possibly signal Bellevue’s emergence as a third regional life science hub.

New supply delivered late in the year, with the completion of 701 Dexter, the 227,000 sq. ft. Class A project in South Lake Union, which was 47,000 sq. ft. preleased. Expected to be the final life science delivery of this cycle, the project pushed investor‑owned total availability to 39%. While overall leasing volume declined approximately 39% from the first half of the year, second‑half 2025 activity increased 50.1% year over year, exceeding 118,000 sq. ft.