Daily Business Report-Feb. 6, 2015
The global life sciences industry saw a total of $104.2 billion raised, up from the $92.9 billion in 2013.
Banner Year for the Life Sciences Industry
San Diego continues to be a major player
2014 was a banner year for the life sciences industry — both on a global and national scale, according to the JLL Life Sciences Outlook for Winter/Spring 2015.
The global life sciences industry saw a total of $104.2 billion raised, up from the $92.9 billion in 2013. Venture capital financing, IPO and M&A activity all recorded significant growth from the prior year. This surge in financing activity, coupled with a growing enthusiasm for new innovative technologies, has many industry veterans saying that the sector is well positioned for sustained growth in 2015 and years to come.
It was also a strong year for drug approvals. Throughout 2014, the U.S. Food and Drug Administration (FDA) approved a total of 41 new drugs and biologics, up from the 27 approved in the prior year. In fact, the sector recorded the most approvals in a single calendar year since 1996 when the FDA approved 53 new drugs and biologics.
San Diego Market Overview
The San Diego life sciences market continues to be a major player in both the national and global market. The region, viewed as the third largest life sciences market in the country — behind Boston and San Francisco — is home to more than 600 life sciences companies and over 80 research institutes that employ around 50,000 people. Job growth within the San Diego life sciences sector exceeded expectations, with the local industry growing by 5.2 percent in 2014, well above the private sector growth of 3.8 percent.
The local life sciences cluster, which consists of the Torrey Pines, UTC, Sorrento Mesa and Sorrento Valley submarkets, accounts for 13.2 million square feet of real estate. Approximately 9.5 million square feet is owned by private and public institutions and the remaining 3.5 million square feet is controlled by owner/users.
Leasing activity within the San Diego life sciences cluster hit record levels in 2014. The year recorded just under 1.7 million square of gross leasing activity among 59 signed lease transactions. This represented a 43 percent increase from the five year annual average in terms of gross leasing activity and the number of leases signed is 11 percent higher in 2014 than the five year annual average. This surge in leasing activity produced 877,556 square feet of positive net company growth during the year and caused the total availability rate to end the year at 9.2 percent, a substantial decrease of 5.7 percent from the fourth quarter of 2013.
Tech Coast Angels Investments
Set All-Time Record in 2014
San Diego TCA, the largest chapter of Tech Coast Angels, reported today that its 2014 investments reached an all-time record. The organization led funding rounds totaling $8.3 million for 16 companies — up from $7.3 million in 2013 with the San Diego chapter accounting for half of all the investments made by the entire five-chapter network.
“We have a strong, dedicated group of members and strategic partners committed to doing their part in spurring our region’s innovation economy, which was a big value add in helping us build and complete our biggest investing year ever,” said Jeff Draa, president of the San Diego Tech Coast Angels. “There are so many great, talented entrepreneurs making a difference here, and we’re proud to offer our collective time, talent and treasure to support their business goals. The depth of expertise in the San Diego area was a big factor in helping us with another record for 2014 – most successful exits ever.”
The average investment raise per company last year was $518,000, up 27 percent from 2013. The funds placed into companies last year included both new funding and follow on rounds. Funds were also allocated to TCA’s Angel Capital Entrepreneurs Fund, a diversified, early stage fund managed by key members of the organization.
Companies supported in 2014 included:
• Rock My World
• Pediatric Bioscience
• Spine Innovation
San Diego Tech Coast Angels said it also had a record number of successful exits by companies in their portfolio in 2014, including: Allylix, Mind Body Software, BlueBeam Software, AIRSIS, Vital Therapies and Hookit (formerly Loop’D Networks).
“We’re constantly on the lookout for entrepreneurs with great ideas that are in need not only of funds, but also of the strategic counsel and guidance that come with our investment,” said Jack Scatizzi, lead analyst for San Diego Tech Coast Angels. “We expect 2015 to be a banner year for investment opportunities.”
UC San Diego Ranked 31st
In Return on Investment
UC San Diego was 31st among U.S. universities in a return-on-investment ranking by The Princeton Review, the school announced Thursday. UCSD was called one of the top universities for science, providing access to cutting-edge technology.
“We are pleased that UC San Diego’s return-on-investment for our students is once again highly ranked,” said Chancellor Pradeep Khosla. “UC San Diego’s stellar academic programs and outstanding faculty prepare our students to be successful in their careers and trailblazers in their fields.”
The Princeton Review study took into account alumni salaries, career satisfaction and student feedback.
The top-ranked schools were the Cooper Union for the Advancement of Science and Art in New York, the Massachusetts Institute of Technology, Harvey Mudd College near Los Angeles and Stanford.
The Princeton Review also ranked UCSD as the 21st best college for students who aren’t eligible for financial aid.
The rankings were released in the 2015 edition of The Princeton Review book, “Colleges That Pay You Back: The 200 Best Value Colleges and What It Takes to Get In.”
— By City News Service
Mesa College to Hold Grand Opening
of Social and Behavioral Sciences Building
San Diego Mesa College will hold a grand opening Feb. 11 for its new Social and Behavioral Sciences building (10 a.m. with tours following).
The three-story, 73,714-square-foot building includes 66,000 square feet of “smart” classrooms, as well as laboratory spaces for Psychology, Anthropology, and Geography. The building layout includes a series of
courtyards that open toward the future Mesa College Quad and also provide daylighting and natural ventilation opportunities to the majority of the interior spaces.
The facility has faculty and administrative offices, lobby and exhibit space, and the third floor features a multi-use patio. Other site design features include on-site storm water management and the use of drought-tolerant native landscaping. The project is on track to obtain LEED Silver certification.
The School of Social/Behavioral Sciences and Multicultural Studies is the second largest instructional school at Mesa College, providing instruction in a diverse array of disciplines. Two of the school’s programs, Psychology
and Sociology, are among Mesa College’s top associate degree and transfer programs.
Departments now housed in the building include Anthropology, Geography, History, Philosophy, Political Science, Psychology, and Sociology, as well as Communication Studies and Exercise Science Health classes. Three other departments of the School, Black Studies, Chicano/a Studies, and Architecture and Environmental Design, are housed at two different locations.
Nuffer, Smith Tucker is Named
2015 Business of the Year
The Nuffer, Smith, Tucker Public Relations agency has been named the 2015 Business of the Year by the San Diego Regional Chamber of Commerce. The award is for the agency’s “four decades of positive community impact and exemplary leadership in the public relations industry.”
Having partnered with or represented many of San Diego’s most notable brands and organizations — including WD-40 Company, Chicken of the Sea, Sony Electronics, San Diego Zoo, San Diego State University, the chamber and others over the last 40 years — the firm was recognized for its overall contribution to the promotion, economic growth, stability and improvement of the region. Past winners of the award include ESET, Qualcomm and Taylor Guitars.
“Nuffer, Smith, Tucker is an industry leader, San Diego small business success story, and long-standing member of the San Diego Regional Chamber,” said Jerry Sanders, president and CEO of the Chamber of Commerce.
The award was presented to Bill Trumpfheller, president of Nuffer, Smith, Tucker, at the chamber’s 144th anniversary celebration Jan. 26.
“Every day, our team puts its passion and expertise into action to make a difference for our clients and the communities in which we live,” said Trumpfheller. “To be recognized for that commitment is a great honor.”
The company recently relocated its office to Hillcrest after 13 years in Downtown San Diego.
Research Vessel Melville Open House
The San Diego community is invited to a Feb. 21 open house and tours aboard the Scripps Institution of Oceanography research vessel Melville at Broadway Pier. This is the research ship’s farewell as it is retired from the national oceangoing fleet after 46 years of service to generations of ocean scientists.
Scripps research ships are rarely accessible to the public due to the scope of ocean research, safety concerns, and intricate instruments onboard. The rare open house opportunity provides a glimpse into the rigors of research work at sea and the excitement of oceangoing exploration.
The open house will be held from 9 a.m. to noon. Closed-toed shoes (no heels) are required for boarding ship. Photo ID id required for all adults for ship access. The location is Broadway Pier, Cruise Ship Terminal, North Harbor Drive at Broadway.
San Diego Tourism Authority to Launch
$9 Million Campaign to Sell San Diego to Tourists
The San Diego Tourism Authority on Thursday unveiled a $9 million multi-platform advertising campaign that will include television spots in key U.S. markets as well as print, digital and billboard advertising beginning on Feb. 9 and running through June.
The campaign features city and neighborhood signs “playfully modified to portray the feel-good attitude of San Diego, along with iconic local scenes and upbeat music,” the agency said.
Most of the $9 million will be spent on television advertising throughout the West in San Francisco, Sacramento, Las Vegas, Salt Lake City, Seattle, Portland, Los Angeles and Phoenix.
With more Americans choosing to watch television on their computers and hand-held devices, the spot will also run on television websites such as ABC, FOX and Hulu. In addition, the campaign includes several banner ads on a variety of websites. The campaign also includes advertising on travel websites such as Expedia, Travelocity and Orbitz, as well as search engine marketing.
“This new campaign exemplifies what San Diego is all about — fun and friendly,” said Mayor Kevin Faulconer, who joined tourism officials in making the announcement.
The Tourism Authority said the new campaign is the result of an unprecedented global research project conducted last year by Authority to evaluate travelers’ perceptions of San Diego. Focus groups were held in four U.S. cities and opinions were gathered from 5,000 people in seven countries through surveys and face-to-face meetings.
Interfaith Community Services to Build
Veterans and Family Resource Center
ESCONDIDO — Interfaith Community Services will begin construction Feb. 11 on a new facility to serve homeless veterans recuperating from hospital stays and to provide expanded support for the homeless and low-income families in North County.
Interfaith’s Veteran and Family Resource Center will be one of only five Recuperative Care providers in the nation certified to work with the U.S. Department of Veterans Affairs, and will be the only one in rhe county to care for homeless female veterans, according to Interfaith.
Greg Anglea, executive director of Interfaith Community Services and county Supervisors Dave Roberts and Bill Horn will participate in an 11:15 a.m. groundbreaking ceremony on Feb. 11 at 250 N. Ash St. Also participating will be Tom Hawthorne, philanthropist and business leader.
Nuffer, Smith, Tucker Hires
Cross-Border Business Veteran
Nuffer, Smith, Tucker Public Relations has hired Rodrigo Caballero, a cross-border business veteran, in recognition of the increasing importance of binational relations.
“The physical border between our two countries is becoming irrelevant to many organizations and companies, whose interests reside on both sides of the border,” said Bill Trumpfheller, president of NST. “Building on our long history of supporting efforts binationally, Rodrigo will bring more than a decade of experience in cross-border business, as well as key cultural understandings to amplify NST’s strategic work.”
Caballero began his career with key positions within the state government in Baja, The Baja IT Cluster and Crossborder Business Group, a research firm with a presence on both sides of the border. At NST, Caballero will be charged with helping NST’s clients create strategic partnerships and raise awareness among key audiences in the U.S. and Mexico.
Fish & Richardson Adds Ryan O’Connor as Principal
Fish & Richardson has named Ryan O’Connor as a principal of the San Diego law firm. O’Connor is a member of Fish’s Intellectual Property Litigation Group and represents plaintiffs and defendants in intellectual property litigation nationwide in a variety of technology areas, including life sciences, medical devices, specialty chemicals, Internet advertising and computer hardware/software.
Fish and Richardson’s Southern California office is based in San Diego and has 40 attorneys. The firm has 12 offices, 11 of which are located in the United States and one in Munich, Germany.