AREAlexandria Real Estate Equities, Inc.

“some of our companies are fully starting to incorporate AI into lab workflows in this lab in a loop type fashion, where they'll generate in silico knowledge and then they will test it in biological systems within the lab. So again, as far as AI's impact -- and we cannot reiterate this enough, in terms of AI's impact on real estate demand and also kind of in the types of states right now, it really remains neutral. Certainly, if AI really does bear the promise of allowing one company to increase the number of targeted experiments that can run at one time, lab requirements may increase.”

“we haven't seen any tenant, not to my knowledge, and I've got pretty good insight into tenants across the portfolio who've come to us and said, gee, we want to reduce because of AI. We just haven't seen that, and we don't have back office space that would be highly susceptible to that. On the other hand, we haven't seen people come to us and say, gee, we're expanding because of AI, and we're ready to do that, generally.”

“we are really not seeing material changes from AI on the ground in terms of tenant demand and the specificity of which they need in terms of lab office ratios shifting at this point, we're just not seeing it. And part of the reason why is because as Joel mentioned, we are still in superbly early innings of AI's impact on drug discovery and development.”

“it's pretty clear that the authorities in this area believe AI cannot replace physical experimentation. Most current usage is still document-centric, not biology breaking. Push button drug discovery is overhyped and even native AI companies in this sector haven't proven dominance whatsoever. It's pretty clear that AI is not fully autonomous discovery, but is aimed at compressing time lines and increasing throughput and recovering lost institutional knowledge, and that is all really good. I think most experts believe that AI will have a small impact on real estate requirements and could even see the need for additional dry and wet space as they run experiments designed by AI.”

“we get often asked about AI in all realms of all industries. And I think it's fair to say that most of you know by now, we've got 37 trillion cells in each of our bodies and AI can support but not replace physical experimentation. Biology is just way too complex at this stage. R&D cannot go fully in silico given the massive complexity of biology. And giving an example, Novartis' CEO, who just joined the Board of Anthropic said, we only understand less than 5% of human -- the functioning of the human body today.”

“not just a, say, an office AI kind of tenant, we wouldn't really consider that in the same category. So if that's helpful, sorry.”