CAMBRIDGE, Mass.— Plans to convert an office building in Porter Square into laboratory space have been paused as shifting market conditions continue to weigh on Greater Boston’s life sciences sector, according to a report by the Boston Business Journal.
Woburn-based KS Partners LLC is seeking a two-year extension from the Cambridge Planning Board for its proposed redevelopment of 815 Somerville Avenue, a three-story, roughly 27,000-square-foot building formerly used by Lesley University.
As reported by BBJ, the firm acquired the property for $12 million and received approval in 2024 to convert it into lab space. However, required timelines to begin construction have collided with a sharp downturn in the life sciences real estate market.
In a letter to the city, KS Partners cited “significant changes in the life science market,” including a contraction in leasing activity and capital markets, according to the BBJ report. The firm added that it was “prudent to pause progress while market fundamentals recalibrated.”
The slowdown reflects broader regional trends. According to BBJ, citing Colliers data, the Greater Boston lab vacancy rate has climbed to approximately 34% heading into 2026, following a surge in development during the pandemic when demand for biotech space soared.
That boom has since cooled, leaving a growing inventory of unleased lab space across the region.
KS Partners is now reassessing whether to proceed with the original lab conversion or consider an alternative approach better aligned with current demand, BBJ reported. The firm is also monitoring local zoning changes along Massachusetts Avenue that could influence future plans.
The Cambridge Planning Board is expected to review the extension request on March 31.
The project is not alone in facing delays. According to BBJ, New England Development recently secured a similar two-year extension for components of its CambridgeSide redevelopment, citing economic conditions.
The pause at 815 Somerville Avenue underscores a broader recalibration in Greater Boston’s once-booming lab development sector, as developers adjust to a more uncertain demand environment.
