Cambridge is a university city located 55 miles (88 km) north of London. The city lies at the heart of “Silicon Fen”, a term given to the region around Cambridge that is host to more than 5,000 businesses involved in the knowledge economy, high-tech manufacturing, software and IT, and life science. Famous for the University of Cambridge, which was founded in 1209, the city is also home to the main campus of Anglia Ruskin University, which has its origins in the Cambridge School of Art founded by John Ruskin in 1858. Each university has just over 20,000 full time students. According to the Times Higher Education World University Rankings, the University of Cambridge is ranked No.3 in 2023 and has been ranked no lower than seven in the last 10 years.
The city is host to two NHS Foundation Trusts. Firstly, Cambridge University Hospitals NHS Foundation Trust, which comprises Addenbrooke’s and The Rosie, a women’s hospital, and regional centre of excellence for maternity care. Addenbrooke’s is a leading national centre for specialist treatment in organ transplantation, cancer, neurosciences, paediatrics, and genetics. It not only serves as the affiliated teaching hospital for the University of Cambridge but is also an integral component of the National Institute for Health and Care Research (NIHR). As part of the Cambridge Biomedical Research Centre, it stands among the six academic health science centres within Cambridge University Health Partners (CUHP). Furthermore, Addenbrooke's plays a key role in the development of the Cambridge Biomedical Campus (CBC). Another significant institution is Royal Papworth Hospital NHS Foundation Trust. This establishment ranks among the foremost heart and lung hospitals in the UK.
Cambridge sits at the eastern end of the “Oxford - Cambridge Arc”, where a recently announced new regional partnership board, backed by £2.5 million (€2.8 million) of government funding, will help Oxford and Cambridge compete for investment on the global stage. It is also an integral part of the hugely successful life sciences and technology “Golden Triangle” that includes Oxford and London. Trains run regularly into London King’s Cross and Liverpool Street stations with the quickest journey time being under 50 minutes. The drive time into central London is approximately 1 hour 45 mins. London Heathrow airport is under two hours by car or public transport, with London Luton airport just over one hour by car and c.1 hour 30 mins by public transport, and London Stansted airport 50 mins by car and 30 mins by train.
Cambridge North and City Centre – major lab, technology, and innovation locations
The Cambridge cluster covers a broad geography encompassing a significant number of parks, campuses and proposed new developments This article will deal only with those in the northern arc of the city and city centre (a second article dealing with the southern area of the city will follow). The map below shows all the locations covered in this article except one which lies to the west (Cambourne Park) and two which lie to the north-east (Cambridge Research Park and Cambridge Innovation Park).
1. Cambridge Science Park
Cambridge Science Park was established in 1970 when Trinity College Cambridge embraced a concept that would change the hi-tech and science sectors in Cambridge and beyond. It is the mother of all science parks. Located less than four miles (6.5km) north of the city centre, it comprises 152 acres (61 ha) and 1.9 million sq ft (176,530 sq m) of laboratory and technical space. It is home to 7,250 staff and over 170 companies. About 40 per cent of the Park’s 60+ buildings are owned by Trinity College and rented out at normal market income, while another 40 per cent are long leasehold interests of around 150 years, with Trinity receiving a cut of the rent. Significant long leaseholders that have recently bought in include Cadillac Fairview with Stanhope, Brockton Everlast, IQHQ and Oxford Properties, who have bought in with a redevelopment mindset. The remaining 20 per cent belongs to owner-occupiers who have bought long leases, such as Napp Pharmaceuticals and Cambridge Consultants.
The Park is undergoing an exciting phase of renewal with a comprehensive programme to improve outdoor spaces, transport, and amenities, as well as the development of state-of-the-art laboratories and offices. The Bradfield Centre (40,000 sq ft / 3,716 sq m), which opened in 2017, is a co-working building at the centre of the park that provides a collaborative, entrepreneurial culture to help grow Cambridge based businesses to a large scale. As companies scale and outgrow the Bradfield Centre they will be offered expansion space elsewhere on the Park. In 2018, Trinity College and TusPark, the development body of Tsinghua University, agreed a JV to catalyse the renewal and investment programme. TusPark Cambridge, within the Science Park, consists of 350,000 sq ft (32,926 sq m) of office/lab space across five new buildings, including a state-of-the-art Bio-Innovation Centre (40,300 sq ft (3,744 sq m). Tenants on the Park include Astra Zeneca, Bayer CropScience, Exscientia, Novogene UK, WorldPay, Roku, MathWorks, Microsoft, and Huawei.
Opposite the entrance to Cambridge Science Park and adjacent to St John’s Innovation Park, Kadans Science Partner has submitted planning for a seven-storey, 140,000 sq ft (13,007 sq m) building at Merlin Place. The design creates a flexible platform that can accommodate a wide range of biotechnology, pharmaceutical, med-tech and digital health companies incorporating modular wet and dry labs.
2. Cambourne Park Science and Technology Campus
Cambourne is located 10 miles (16 km) to the west of the city centre. It was acquired by Life Science REIT (LSR) in 2021 in two separate transactions. The development comprises 231,700 sq ft (21,527 sq m) in six buildings comprising a mix of office and lab / MedTech space. A new Masterplan for the Campus is taking shape to transition the former business park into a more science and technology focused campus. Existing buildings will undergo retrofitting and repurposing to improve environmental credentials and to create appropriate wet and dry lab spaces. In addition, a further 60,000 sq ft (5,575 sq m) of BREEAM “Outstanding” highly sustainable, flexible lab and office space will be developed to accommodate technology and life science businesses from start-up through to scale-up. LSR is also looking to significantly upgrade the onsite amenity provision to include cafes, meeting spaces, and leisure facilities for occupiers and the wider Cambourne community to benefit from. A key occupier is Carl Zeiss AG. In June 2023, Rakon, a global precision timing designer and manufacturer, leased 4,877 sq ft (453 sq m) at £25 psf pa (€26 psm per month).
3. West Cambridge
The West Cambridge site, just over three miles (5 km) west of the city centre, covers 163 acres (66 ha) of university-owned land. It is home to several major academic research occupiers including the Cavendish Laboratory, the Whittle Laboratory and Department of Veterinary Medicine. Commercial research and research institute occupiers on the western side of the site include Schlumberger, Aviva, and British Antarctic Survey. Construction work is underway on the Maxwell Centre for the Department of Physics, the Chemical Engineering and Biotechnology building, and the CAPE Extension as part of the Electrical Engineering division building. The West Cambridge Innovation District scheme was approved by Cambridge City Council in 2021. The opening of the £40 million (€46 million) West Hub in April 2022 marked the start of a radical transformation of the existing campus. Long-term plans envisage a dynamic innovation district with employment growing from 4,000 to 15,000 by 2041.
4. Vision Park
Vision Park, located just under five miles (8 km) north of the city, is an established research park located in the north science cluster of Cambridge. The park is owned by Royal London Asset Management (RLAM) and comprises nine buildings, all offering flexible and adaptable space for office, lab, and R&D uses. Tenants include Source Bioscience, GW Pharma, Talga, and Nuclera.
5. Evolution Business Park
Evolution Business Park is just under five miles (8 km) north of Cambridge, close to the A10 and A14 arterial routes. The park comprises six units totalling c.130,000 sq ft (12,078 sq m) of office and mid-tech space. Key tenants include world renowned CMR Surgical (Cambridge Medical Robotics), Nyobolt Ltd., and Aveillant Ltd.
6. Cambridge Research Park
Cambridge Research Park is eight miles (13 km) north-east of the city, located on the opposite side of the A10 arterial route to Waterbeach New Town, a new community of 6,500 homes. RLAM bought the 112-acre (45 ha) Park from Rockspring Property Investment Managers in June 2018 for £78 million (€90.5 million). The Park offers c.160,000 sq ft (14,866 sq m) of office / lab / mid-tech space and 76,000 sq ft (7,061 sq m) of industrial space in a nine-unit scheme known as Enterprise. Additionally, a part of the site is located within the Cambridge Compass Enterprise Zone resulting in some financial benefits. In August 2022, RLAM, together with XLB property, secured full planning consent to develop 90,411 sq ft (8,400 sqm) of advanced R&D units. This phase will comprise 11 flexible units ranging from 4,700 sq ft (437 sqm) to 13,900 sq ft (1,291 sqm) designed to support a wide range of technology and science occupiers. Delivery is expected in Q4 2023. A broad range of tenants includes cellXica, Horizon, Oval Medical Technologies, Inotec AMD, and Cambridge Pharma.
7. Cambridge Innovation Park
Owned and managed by Paragon Land & Estates, Cambridge Innovation Park is located off the A10 at Waterbeach, just under seven miles north-east of Cambridge (11 km). The Park comprises two buildings, Stirling House and Blenheim House, which house around 75 established businesses and an incubator hub for start-ups. Planning consent was granted in June 2023 for three further buildings totalling 90,000 sq ft (8,362 sq m) to be developed in the period through to 2028.
8. St John’s Innovation Park
Located at the junction 33 of the A14, where it meets the A10, 3.5 miles (5.5 km) north-east of Cambridge, the Park comprises 21-acres (8.5ha) of land wholly owned by St John’s College, Cambridge since 1534. The park comprises seven buildings centred around St John’s Innovation Centre. The total space available is c.246,500 sq ft (22,900 sq m) offering a mix of office and R&D areas. The Innovation Centre provides suites from 140 sq ft (13 sq m) to 2,500 sq ft (323 sq m) on easy in / easy out terms with flexible notice periods within a supportive community environment. In May 2022, Breakthrough Properties, a JV between Tishman Speyer and Bellco Capital, acquired the long leasehold to The Vitrium Building on a 1.8-acre (0.73 ha) site. In April 2023, plans were unveiled for a five-storey 132,588 sq ft (12,319 sq m) building - Vitrium by Breakthrough - to provide high performance class A laboratory space. Assuming that planning consent is granted, completion is expected in 2026. Two office buildings have been approved – Dirac 1 and Dirac 2, both of c.85,000 sq ft (7,897 sq m), but a start on site is unlikely without a pre-let.
9. Cambridge Business Park
Owned by The Crown Estate, Cambridge Business Park is also located off junction 33 (A14 / A10) and offers 325,000 sq ft (30,196 sq m) of modern office and technology buildings. Suited to a range of business needs, the Park offers suites of 2,000 sq ft (186 sq m) to a single building of 50,000 sq ft (4,645 sq m). The tenant mix is currently slanted towards professional services and IT with tenants including EY, BDO Services, BBC, Qualcomm Technologies International Ltd., and Red Gate Software Ltd. Unusually for Cambridge, it currently has two vacant units.
10. Cambridge North
Cambridge North is a new urban community being brought forward by Chesterton Partnership on former railway sidings adjacent to Cambridge North station, four miles (6.5km) northeast of the city centre. The Chesterton Partnership comprises Brookgate, Network Rail, and DB Cargo UK. The 42-acre (17 ha) site is being brought forward in phases with the new station having opened in May 2017, a 217-bedroom Novotel that opened in May 2021, and One Cambridge Square, a 94,0000 sq ft (8,734 sq m) office block that completed in July 2023 and part let to Samsung. Final plans are yet to be confirmed, but the intention is to introduce up to 1,000 new homes with supporting retail and F&B offerings. In addition, there are four further buildings that could provide close to 1 million sq ft (92,910 sq m), including c.450,000 sq ft (41,810 sq m) of lab and R&D enabled space. The initial planning application is at the appeal stage.
11. CB1
CB1 is the revitalisation of the Station Road area of Cambridge and is described as a new city quarter by developer Brookgate. When completed it will deliver over 630,000 sq ft (58,534 sq m) of office accommodation in eight buildings. Existing tenants include Amazon, Microsoft Research, Raspberry Pi, and a range of engineering and professional services businesses. 10 Station Road will deliver 50,203 sq ft (4,664 sq m) in July 2024, leaving “Plot F” (c.40,000 sq ft / 3,716 sq m) to be developed out in the future. The large mixed-use development also includes the 4-star 155-room Clayton hotel and the 231-room ibis hotel - the largest in Cambridge. Furthermore, over 400 apartments in four schemes, a student accommodation block of 1,089 beds, and a range of supporting F&B and retail are available.
Ownership is diverse, with Network Rail owning the station buildings and Station Square, Brookgate owning Murdoch House and several older office buildings up for redevelopment. Aviva has forward funded 50/60 Station Road, while the pension funds of Tesco, Railpen, and Possfund own newer office stock, and the housing associations bpha and Aldwyck own residential blocks. Located directly in front of Cambridge station, CB1 is ideally positioned for access to train, bus and guided bus routes, and cycleways.
12. Cambridge City Airport / Marshall Airport
Cambridge City Airport was placed on the market at the end of July 2023 and has been pitched to a handful of high-profile life sciences developers. The site offers the potential for between 5 million sq ft (465,000 sq m) and 6 million sq ft (557,000 sq m) of science-led business space. Currently owned by Marshall Aerospace and Defence Group, the site forms part of the government’s vision for a “Silicon Valley” in the OxCam Arc and several investors and developers, including Stanhope, Landsec and British Land, are understood to have shown interest.
13. Westbrook Centre
Reef Group and UBS Asset Management, through their Forge_KN life sciences joint venture, bought the Westbrook Centre for £75 million (€87 million) in May 2023 and are planning to “reimagine the site as a new state-of-the-art low carbon life sciences campus”. Currently, Westbrook is a campus-style 1980s office development of four three-storey office buildings totalling 125,000 sq ft (11,614 sq m). The price paid equates to a capital value of circa £610 psf (€7,620 psm). Redevelopment rather than refurbishment is expected, to accommodate high-performing sustainable lab space. Forge_KN is currently at the pre-planning stage for three buildings totalling c.300,000 sq ft (27,873 sq m).
14. Grafton Centre
Trinity Investment Management and Angelo Gordon purchased the Grafton Shopping Centre for c.£60 million (€70 million) in February 2022 with a view to repositioning the asset to include much needed life sciences and lab space to be managed by Pioneer Group. Proposals are to significantly reduce the retail footprint and convert much of the east side of the centre to a range of life sciences accommodation. The old Debenhams unit is being converted to provide c.100,000 sq ft (9,291 sq m) for start-ups.
15. The Beehive Centre
Owned by Railpen, the 236,000 sq ft (21,927 sq m) Beehive Centre retail park is being considered for redevelopment to make better use of the underutilised site, over 50 per cent of which is hard standing car parking. The proposals include a range of uses including provision for life sciences and tech space. A formal planning application is not expected until 2024. Railpen also owns the adjacent Cambridge Retail Park, which is similarly undergoing some repositioning.
16. 1-3 Hills Road
In June 2023, it was reported in the press that Longfellow Real Estate Partners were the front runner to buy the Hills Road site owned by the University of Cambridge. The sale price is expected to be in the region of £65 to £70 million (€75 to €81 million), with the site capable of accommodating c. 250,000 sq ft (23,225 sq m) of lab and office space.
Bidwells reports H1 2023 office and lab take-up of 266,000 sq ft (24,714 sq m) and a lab shortage of 1.2 million sq ft (111,493 sq m). Fitted lab rents are now £68 psf pa (€71 psm per month) and are forecast to rise at between two to three per cent per annum through to 2028. However, limited stock is restricting evidence of rental growth. The buyer pool for science-related assets remains deep with prime yields in the range 4.75 per cent to 5.00 per cent.
