Danish pensions company PFA has made its first investment in life science by acquiring science labs in New Jersey, US, for DKK 500m (€67m).

The investment is part of a strategy following the growing ageing population which requires more medicines and in turn increases the demand for more research.

The 72,790 square meter property is, for the most part, rented out to multiple international research companies, while the rest will be of communal use, as PFA sees a growing demand for shared facilities across offices and laboratories.

PFA real estate director Michael Bruhn said life science is a growing market due to global trends such as ageing populations in the western world and an increase of investments in research.

“At the same time, it supports our investment strategy focusing on health care. The New Jersey Center of Excellence provides a framework for future research to help develop medicine so that more people can live longer and be treated for illnesses. Simultaneously, it is a solid and long-term investment that will make a positive contribution to our members’ returns,” Bruhn said.

PFA is making a direct investment together with global real estate investor Thor Equities. PFA will own 95 per cent of the development, while Thor Equities owns the remaining 5 per cent. The partnership also owns other properties together, such as the Gran Via in Madrid.

“The investment is significant to us because we have a larger ownership interest here than with our other investments in the US market. That is why we have also allied ourselves with a very experienced manager who we know and who has a good track record – also within life science, where Thor has previously facilitated collaboration with WeWork on the development of joint office communities, and we also see exciting opportunities here,” Bruhn said.

According to PFA, New Jersey is one of the foremost areas of biomedicine development in the US and the fourth largest life science cluster in the country.

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