Biotech REITs Under the Microscope

As the biotechnology industry grows, so does its need for modern office and lab space. That is why some investors are betting that REITs catering to biotechs will continue to remain bright spots in an overall foggy REIT industry.

The only two REITs that focus on owning life science buildings -- Alexandria Real Estate Equities(ARE Quote) and BioMed Realty Trust(BMR Quote) -- are both favorites among analysts and investors of late.

"Biotechnology is a growing industry, and the real estate companies that service this sector are likely to see substantial growth over the coming years," Richard Moore, an analyst with KeyBanc Capital Markets, told clients in a research note Thursday. ...