Top 10 U.S. Biomedical & Pharma Clusters of 2024—Part II

As the U.S. remains a global leader in life sciences, cities like Philadelphia, Los Angeles, North Carolina, Chicago, and Seattle significantly boost the industry’s growth. Their advancements in research, investment, and infrastructure are crucial for maintaining the nation’s biotech leadership. Recent research highlights the sustained dominance of top biotech regions, despite global changes over the past 45 years. A study by Bart Van Looy and colleagues identifies the San Francisco Bay Area, Massachusetts, and Japan’s Southern Kanto region as persistent leaders due to early investments, scientific excellence, and strong networks. The analysis of biotech patents and publications underscores the importance of vibrant scientific communities and robust entrepreneurial support. Criteria such as diverse funding sources—including NIH and venture capital funding—extensive laboratory space, and significant job numbers were used to rank these leading clusters.

6. Greater Philadelphia

Philadelphia’s public-private economic development corporation, PIDC, is evaluating proposals for the Lower Schuylkill Biotech Campus, a planned $1 billion, one million-square-foot biomanufacturing site. The Lower Schuylkill project will occupy 40 acres along the riverfront. The Chamber of Commerce for Greater Philadelphia reported in June that the region hosts 60 of the world’s top 500 cell and gene therapy companies, with 7,000 employees. Spark Therapeutics is building its Gene Therapy Innovation Center at Drexel University, which will create over 500 jobs upon opening in 2026. However, Spark recently laid off some staff as it accelerates its pipeline development. Meanwhile, in Collegeville, PA, David Werner Real Estate Investments and GreenBarn Investment Group are developing The Bridge at Collegeville, a 1.4 million-square-foot addition to a former Pfizer campus.

Greater Philadelphia’s emphasis on cell and gene therapy has propelled it from ninth to fourth in venture capital, reaching $3.1 billion in 2023, although it earned only $260 million in early 2024. The region maintains fourth place in patents with 15,514 families and sixth in both NIH funding with 4,070 awards totaling $2.189 billion, and lab space with 23.7 million square feet. It ranks lowest in jobs, with more than 50,000 positions.

7. Los Angeles/Orange County, CA

The University of California, Los Angeles (UCLA) kicked off 2024 by acquiring the vacant Westside Pavilion mall for $700 million. This site will become the California Center for Immunology, supported by $200 million in state funding announced by Governor Gavin Newsom in May. The Center is expected to be completed by mid-2027. In addition, Ambry Genetics founder Charlie Dunlop donated $50 million to the University of California, Irvine, to establish an endowed fund for the School of Biological Sciences. Meanwhile, Amgen, the region’s largest biotech company, experienced its largest one-day stock increase in 15 years in May after announcing plans for a Phase III trial of the weight loss drug MariTide, following a successful Phase II trial.

Los Angeles and its surrounding counties remain prominent in life sciences employment, though the region fell from third to fourth place this year with 127,274 jobs, according to BIOCOM California. It ranks seventh in NIH funding with 3,474 awards totaling $2.096 billion, and in patents with 6,019 families. In venture capital, the region secured $778.85 million in 2023 and $683.4 million in early 2024. However, it ranks eighth in lab space, with 12 million square feet.

8. North Carolina

Novo Nordisk announced on June 24 its plans for a $4.1 billion fill-finish plant in Clayton, NC, which will create 1,000 new jobs to support the growing demand for its GLP-1 drugs for obesity and diabetes. Eli Lilly is also expanding in North Carolina, with Governor Roy Cooper celebrating the opening of a $2 billion-plus facility in Concord, NC, that will employ 600 people for GLP-1 drug production. Additionally, Fujifilm Diosynth Biotechnologies is investing $1.2 billion to expand its Holly Springs, NC, biomanufacturing site, adding 680 more jobs to the previously planned 725. JLL has named Raleigh-Durham the top biomanufacturing hub in the nation, highlighting its strong R&D infrastructure, workforce, and favorable business environment.

North Carolina ranks fifth in NIH funding with 4,239 awards totaling $3.328 billion, and seventh in lab space with 18.2 million square feet, an increase of 600,000 square feet from 2023. The state is eighth in patents with 5,094 families and jobs with over 75,000 positions. It is ninth in venture capital, securing $533.45 million in 2023 and $260.778 million in early 2024.

9. Chicagoland

Chicago recently saw significant investment in artificial intelligence, with Tempus AI raising $371.5 million through its IPO on June 14, and spatial AI biomarker company Nucleai securing $14 million from M Ventures for its clinical trial algorithms, bringing its total funding to $60 million. Trammell Crow is actively developing several major projects, including the 1.8 million-square-foot Fulton Park Campus and the 175,000-square-foot Evanston Labs, with additional plans for the 302,000-square-foot Hyde Park Labs in collaboration with Beacon Capital Partners.

In the life sciences sector, Chicago has risen to sixth in employment with 91,000 jobs, according to the Illinois Biotechnology Innovation Organization. The region ranks ninth in NIH funding with 3,535 awards totaling $1.811 billion and in patents with 4,705 families. It is tenth in lab space with 2.035 million square feet, although an additional 1.14 million square feet is either set for completion this year or planned for 2026. Chicago also ranks tenth in venture capital with $166 million in 2023 and $172 million in early 2024.

10. Seattle and Greater Puget Sound

Following Pfizer’s $43 billion acquisition of Seagen, the company shifted the construction of a $350 million manufacturing plant from Everett, WA, to Sanford, NC. Recent developments in Seattle’s South Lake Union include Alexandria Real Estate Equities resuming work on the 227,000-square-foot 701 Dexter Avenue North, set to open in 2025/26. Immunome has secured a new 29,344-square-foot headquarters in Bothell, with room for expansion. Additionally, InduPro raised $85 million in Series A funding, and Vilya, a spinout from the University of Washington, completed a $71 million Series A round. Vertex expanded its kidney drug pipeline with the $4.9 billion acquisition of Alpine Immune Sciences, while Bruker acquired NanoString Technologies for $392.6 million.

The Puget Sound region ranks eighth in NIH funding with 2,486 awards totaling $1.842 billion and eighth in venture capital with $854.5 million in 2023 and $334 million in early 2024, according to Life Science Washington. It holds ninth place in lab space with 8.5 million square feet, and tenth in patents with 4,783 families and jobs with 46,540, according to Life Science Washington’s April report.

Advancements in Cell and Gene Therapy, Immunology, Biomanufacturing, AI, and Infrastructure Development

Greater Philadelphia, Los Angeles/Orange County, North Carolina, Chicagoland, and Seattle have all made significant strides in biotech, each contributing uniquely to the industry’s landscape. Greater Philadelphia has enhanced its position with major developments like the Lower Schuylkill Biotech Campus and strong investment in cell and gene therapy. Los Angeles/Orange County continues to be a key player with major investments in immunology and biomanufacturing. North Carolina stands out with large-scale expansions by Novo Nordisk and Eli Lilly, reinforcing its status as a leading biomanufacturing hub. Additionally, Chicagoland’s focus on AI and biotech infrastructure boosts its industry standing, while Seattle maintains its position with recent acquisitions and ongoing developments. Consequently, these regions collectively support and advance the U.S.’s leadership in biotech innovation, reflecting their robust research, investment, and infrastructure capabilities.

Reference: Genetic Engineering and Biology News

Author

Bernice Lottering