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Lessons from the lab: How to deliver future-focused laboratories

Insight How To Deliver Future Focused Laboratories

February 9, 2022

3 min read

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After years of investing in offices, retail and industrial buildings, an increasing number of investors are competing for less conventional assets in the research, life sciences and laboratory space.

Covid-19 has accelerated investment in life science assets. Forecasts suggest that the sector – which includes pharmaceutical, biotechnology, medical equipment, food science and healthcare – will double in size over the next decade to $24 billion.

Australia’s mature and skilled economy is a well-established hub for the biomedical industry. Global pharmaceutical companies are expanding their production capabilities in Australia. Government spending on health and aged care is expected to increase by seven per cent over the next four decades. And more government incentives for research and development are afoot.

While the money is moving, laboratory design is also evolving rapidly. Far from a place to store scientific equipment, today’s laboratories are increasingly multidisciplinary spaces of teaching, learning, research and collaboration.


Four trends shaping lab design



Digital disruption


Artificial intelligence, robotics, cloud computing, and big data are changing how researchers work and spaces are designed. Automated analytical software, for example, enables lab work to be completed faster and with greater accuracy, freeing scientists up to analyse outcomes and develop ideas. Advancements in collecting data through sensors, devices, and the Internet of Things narrows the gap between hypothesis and product development.



Flexibility first


Much of the work that takes place in lab environments must adapt to unpredictable future demands. Covid-19, alone, has demanded a swift pivot in research activities. Modern laboratory buildings must be multifunctional, flexible and reconfigurable as teams and tasks evolve. The key is flexible floorplates and modular design so that labs can expand and contract without major modifications.



Talent magnet


The life sciences industry is booming, and recruiting and retaining talent is a top priority for leading companies. Winning the war on talent is mission-critical to industry growth, and companies are increasingly looking to real estate to give them the edge. People now expect fresh air and natural light, inspiring spaces and collaborative places – and lab design must move with the times.



Sustainable centre


Meeting heating, cooling and computer demands are critical considerations for lab infrastructure – but that energy consumption can come with a supersized carbon footprint.

The National Renewable Energy Laboratory estimates labs consume five to 10 times more energy than office buildings, and some specialty laboratories can consume 100 times the energy of a similarly-sized commercial building.

Typical energy-saving measures – like wall and roof insulation or orientation – will not solve the sustainability problem in laboratories, and professionals must design and cost bespoke sustainability strategies for life science assets.



What does it mean for costs?


Will costs come down as designs evolve? Or will we see costs rise as laboratories become more and more complex? The simple answer is: It’s complicated. There is no one formula or standard square metre rate we can use to cost a lab.

In this emerging sector, each lab presents unique features and challenges, and there are plenty of client variables depending on the field and type of work being undertaken in the lab.

Take the “physical containment” factor as one example. In Australia, we rate physical containment, or the potential for dangerous micro-organisms to escape from a lab, on a scale from PC1 (low risk) to PC4 (extremely dangerous). Usually, the higher the PC level, the higher the cost.

Security and safety systems play a critical role in unique lab design. Considerations might include biometric identification to prevent unauthorised access, or gas suppression systems instead of sprinklers when water could damage critical building contents.

Mechanical services is another good illustration. Some labs require sophisticated heating, ventilation, air-conditioning and cooling systems that run 24/7, with precise control of temperature, humidity, room pressure and airflow.

As with all careful costings, the devil is in the detail. What we do know, from analysing our data, is that the cost range is wide (for both new build & refurbishment projects), ranging from $2,500/m2 to $16,000/m2 (Gross Construction Cost). A wide cost range presents a problem at the feasibility stage.

A thorough understanding of the space and its bespoke requirements is crucial – and this can only be achieved by diving into the detail with the people who will use the space. An experienced project team with quantity surveyors, architects, mechanical engineers and sustainability consultants who are committed to innovation and collaboration is also an essential ingredient.



Summary


The trendline is pointing in one direction – and the industry is expanding and upskilling at speed. But the large variation in construction costs mean there’s no one simple formula for labs.

Irrespective of the design and cost, ensuring the budget is correct from the outset is pivotal. A quantity surveyor can provide tangible data to ensure the budget is sufficient to avoid commercial issues throughout the project life-cycle and that the client brief is being met.

Engaging experts, especially an experienced quantity surveying team, can help you ask the right questions, gain early advice, set an accurate budget, proactively control costs, and, most importantly, deliver a future-proofed asset.

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Altus Group

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Altus Group

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