Skokie tech park buildings go up for sale as demand cools for life sciences space

May 8, 2026 - 19:15

Two buildings in the Skokie technology park are now up for sale, offering a real-time gauge of investor appetite for life sciences real estate in the Chicago region. The properties, located within the suburban research corridor, are hitting the market at a time when the once-hot sector is facing a noticeable cooldown.

During the pandemic, life sciences space was in high demand as biotech and pharmaceutical firms scrambled for lab and office capacity. Developers rushed to convert older industrial buildings and construct new facilities to meet that need. But that wave has since receded. Rising interest rates, tighter capital markets, and a pullback in venture funding for early-stage biotech companies have left many landlords with vacant or underperforming assets.

The Skokie buildings are now a test case. Their sale will reveal whether investors still see long-term value in suburban lab space or if the market has shifted decisively toward caution. Industry observers note that while demand for Class A lab space in prime urban clusters like Boston and San Francisco remains relatively strong, secondary markets like Chicago's suburbs face a tougher road.

The properties themselves are well-located near major transportation routes and research institutions. But the broader market dynamics suggest that buyers will be looking for deep discounts or significant repositioning opportunities. The outcome of this sale could influence how other landlords in the region price their own assets in the months ahead.