8/22/2012 | By Carisa Chappell
"I think the rationale behind the change really relates to how much the company has grown and evolved over time," said Kent Griffin, president and COO of BioMed. "We really wanted to have a brand identity that communicates the type of company that we are today."
Griffin added that the new visual identity is designed to increase the company's brand recognition and position it for future continued growth.
The new monogrammed logo has the three letters in the stock's ticker symbol (BMR), interlocking. Griffin said it symbolizes the company's innovative approach in support of its tenants' ongoing research and reflects the close relationships forged with tenants since the company was founded.
A new tagline that reads "Discover here" highlights the groundbreaking advancements in life science research occurring at BioMed Realty's properties, Griffin explained.
"We've had enormous success with building a high-quality portfolio. We have all of the right tenants in our space and we know what it takes to succeed in life science because we've done it," he said.
BioMed Realty has increased revenues in each of its eight years as a public company. Total revenues for the second quarter of 2012 increased 17.3 percent, to $124.8 million, the highest quarterly total in the company's history, compared to $106.4 million for the same period in 2011. Rental revenues also increased to $95.7 million, compared to $81.1 million for the same period in 2011.
Griffin said the new identity has been in discussion for a while, even though the official launch was on Aug. 8.
"BioMed Realty took close to a year of thoughtful consideration about our brand and expressing the details of a brand assessment. As an organization, this is more of a fine tuning of the message versus a fundamental change," he said.
The company's website has also been revamped with enhanced navigation and access to multi-media content for the company's stakeholders. BioMed is currently in the process of enhancing its signage and publicizing the new brand identity. Company executives said the transition will continue over the next several months.
Although there are execution challenges that come with rebranding, admits Griffin, he said the process was well-planned to avoid those challenges and limit any disruptions to the company.
David Toti, REIT analyst with Cantor Fitzgerald, said he expects BioMed's strong year-to-date leasing volumes and acquisition activity to continue.
"The company has been successful thus far into 2012 in leasing vacant space within the portfolio, somewhat ahead of our original projections," he said.
In July, BioMed announced the signing of a lease extension with Vertix Pharmaceuticals Incorporated for approximately 81,200 square feet in San Diego through 2018. Also in the second quarter, the company signed a new 12-year lease with AVEO Pharmaceuticals, Inc., for 126,000 square feet of laboratory and office space in Cambridge, Mass.
BioMed Realty is focused on its core major life science markets that include Boston, San Diego, San Francisco, Seattle, Maryland, Pennsylvania, New York and New Jersey.
"I would say that our business has proceeded at a very steady, stable healthy clip. We are pleased we have had a lot of success in the industry. It's been a very great first half of 2012," he said.
Toti speaks highly when it comes to fundamentals in the life science real estate sector and anticipates continued growth in the industry.
"Overall, we expect that the good health of the biotech/lab space market will generate continued positive same store net operating income growth in coming quarters," he said. "This should deliver a 12-month forward total return ahead of REIT peers."