Advancing the Medical Device Industry in the Commonwealth
Originally published in MassEcon Vantage Point
The medical device sector in Massachusetts is among the nation’s largest and most innovative, with its growth contributing to and dynamically shaping the state economy and real estate development.
Massachusetts is an ideal location for medical device companies in any stage of their development, from startups working on their initial products to established firms looking to tap into the robust talent pool situated in the most educated state in the country. The Commonwealth is home to the headquarters of medical device industry leaders such as Boston Scientific, Philips Healthcare, and Fresenius Medical Care, while major firms such as Medtronic, Siemens, and Johnson & Johnson, also maintain a significant physical presence in the state. Hunneman has previously worked with reputed medical device firms ProTom International and Peak Scientific to ensure their real estate requirements were satisfied.
Massachusetts is perfectly suited as a destination for these types of industry as we possess the ideal demographics and pre-existing infrastructure, along with continual innovation from both the private sector and various higher education institutions. Our government representatives in both the state and federal level actively work with the industry to poise it for success, having already made legislative gains such as the 2019 repeal of the Medical Device Excise Tax, spearheaded by Massachusetts Senators Ed Markey and Elizabeth Warren. Per the Senator’s office, there were more than 6,500 medical device companies in the U.S that employed 2 million people – 82,000 of which are in the Commonwealth. On the state and local level, the Governor and legislature work with organizations such as MassMEDIC, the nation’s largest regional medical technology association, to build a collaborative community and develop public policy conducive to a thriving medical device sector. As a hotbed of technological advancement from both existing firms and universities such as Harvard and MIT, there is also an abundance of venture capital funding to be had in Massachusetts for promising ventures. With Massachusetts consistently ranking at or near the top of total venture capital funding, despite being significantly smaller than other leading states such as California and New York, companies moving into the state are set to garner interest from deep-pocketed, knowledgeable investors who can provide both funding and experience in navigating the industry.
As Massachusetts continues to assert itself as a world-class hub in medical device innovation and production, the industry projects for continued growth due to the state’s concentration of talent and the vast resources already dedicated to its success. Our existing laboratory and flex real estate are equipped to handle the most complex experimentation and manufacturing, while the quality of its workers is second to none in terms of qualifications and capability. Firms located in the state benefit greatly from the clustering effect, allowing for greater collaboration, strategic partnerships, and acquisitions by established multinational corporations in the industry. Massachusetts’s advanced medical device ecosystem, world-renowned educational institutions, technology incubators, real estate infrastructure, and an active investment community ensures the medical device industry will continue to thrive in developing lifesaving technologies and making lasting change.
Notable 2024 Medical Device Leasing Activity
2024 Medical Device Leases Signed in Massachusetts
For more information, please contact:
Mark Fallon, Director of Research & Strategy | mfallon@hunnemanre.com
