Related Fund Buys Innovative Life Science Campus

The Stitch. Image courtesy of Cushman & Wakefield

A life science campus in Morrisville, N.C., that recently underwent a major redevelopment has changed ownership. Related Fund Management has acquired The Stitch from Equator Capital Management for an undisclosed price. Cushman & Wakefield represented the seller and secured an undisclosed amount of acquisition financing for the buyer.

The Stitch spans 245,159 square feet and is currently fully leased to Invitae, a medical genetics company. Sara Owen, who was part of the Cushman & Wakefield team that represented the seller, told Commercial Property Executive that Invitae’s net lease started just prior to closing and will end in 2035. She also told CPE that some portions of the property are still under construction.

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Invitae is planning to use the property located at 1001 Airport Blvd. as its East Coast laboratory and production facility. The facility is expected to help the company expand capacity so it can better meet growing global demand for genetic testing services.

Owen said in prepared remarks that The Stitch attracted many investors when Cushman & Wakefield was marketing the property. The attention ultimately garnered record-breaking pricing, Owen added.

“Our team engaged with close to 200 different interested buyers during the time the property was being marketed for sale, many of which are well-known, institutional, international and overseas investors,” Owen told CPE. “There were multiple rounds of bidding and offers received that were highly competitive.”

New life as life science campus

Prior to its current configuration, The Stitch was originally built in 1981 as an outlet mall. Equator and OCS Capital pursued a significant adaptive reuse redevelopment for the 25-acre site that would eventually transform it into a modern and unique life science campus.

To design the major overhaul of The Stitch, the previous owners tapped Gensler, which highlighted the history of its previous life as a mall and found ways to bring more natural light into the building. The redevelopment, which was completed in 2020, now features an 18,000-square-foot indoor amenity area with a fitness center, on-site health-care provider, coffee bar, prep kitchen, private phone booths and quiet areas.