The U.S. life sciences real estate sector faces a 10-year low in lab space demand, driven by speculative construction, sublease vacancies, and slower leasing activity, leading to an all-time high availability of 26.4%. Despite this, venture capital funding surged by nearly 30% in the first half of 2024, indicating future growth potential. Smaller leases dominate the market as tenants focus on cost efficiency, while oversupply presents opportunities for favorable leasing terms. Industry leaders remain optimistic, predicting steady recovery driven by venture capital, government funding, and increasing demand from well-funded life science companies and pharmaceutical firms.