The life sciences sector on the Chinese mainland is experiencing rapid transformation, underpinned by policy liberalization, technological innovation, the emergence of major domestic players, and the rise of purpose-built real estate ecosystems. This report offers a comprehensive overview of current market dynamics, regulatory shifts, landlord and occupier perspectives, and future growth directions.
Policy Landscape — National and Local Catalysts
Reforms enacted in 2024-2025 have significantly accelerated sector development. Nationally, China relaxed restrictions on foreign investment in gene and cell therapy and allowed the establishment of wholly foreign-owned hospitals in key cities. Regulatory incentives – such as data protection and marketing exclusivity – have improved market access for innovative drugs. Locally, cities such as Beijing, Shanghai, Shenzhen, Guangzhou and Suzhou are rolling out targeted subsidies, fast-track approvals, and ecosystem-building programs that directly benefit biotech development.
Industry Innovation and Company Growth
Chinese life sciences companies are moving beyond generic drug manufacturing toward innovative therapies. Firms such as Akeso, BeiGene, Gracell, and Legend Biotech are now global players, leading in CAR-T, bispecific antibodies, and AI-assisted R&D. These companies are not only commercializing cutting-edge treatments but also attracting international investment and licensing agreements, reinforcing the Chinese mainland’s global relevance in life sciences.
Real Estate Development and Regional Hubs
Innovation hubs such as Suzhou BioBAY, Zhangjiang Hi-Tech Park (Shanghai), and the Bioisland Innovation Centre (Guangdong) are central to regional clustering. These hubs offer end-to-end support, including shared labs, venture capital access, GMP-compliant facilities, and proximity to academic and clinical networks. The rise of second-tier innovation cities like Chengdu and Ningbo further expands growth corridors.
Landlord Perspectives — Evolving Real Estate Models
Real estate developers and landlords are adapting to sector-specific requirements through asset-light models, flexible leasing, and high-specification lab and production space. Tier-1 cities face saturation, but central and western regions exhibit healthy demand. Developers are incorporating advanced sustainability and compliance features to meet growing regulatory and ESG expectations, particularly in GMP and cleanroom environments.
Occupier Perspectives — Growth, Innovation, and Challenges
Life sciences occupiers are navigating regulatory reform, rising compliance demands, and intensified market competition. Many are localizing production and R&D, leveraging regional subsidies, and investing in AI-powered innovation platforms. Occupiers seek flexibility, proximity to talent and infrastructure, and colocated R&D and manufacturing to support accelerated innovation and operational agility.
Future Outlook — High-Value Growth and Real Estate Evolution
Looking ahead to 2025 and beyond, growth opportunities lie in AI-driven drug discovery, personalized medicine, advanced therapeutics (CGT, RNA), and green certified facilities. Government policies continue to support innovation through fast-track approvals, rare disease funding, and subsidies aligned with dual-carbon and ESG goals.
