The
seeds that Sam Campbell of Campbell-Becker has planted throughout his 35-year
career in the financing of early stage companies have taken root and now show
all the signs of bearing fruit. Most recently, he is turning his purchase of
the former Oread Bulk Active Pilot Plant into an opportunity to further the
life sciences efforts in Lawrence and the
Kansas
City area. Following Oread, Inc.’s bankruptcy, Campbell along with associates
from Topeka purchased the three main buildings of the Oread campus, which
they sold to the KU Center for Research (KUCR). They purchased the Bulk Active
Pilot Plant (BAPP) from the court-appointed Chapter 11 trustee for Oread, Inc.
After failing to find a buyer who would operate the BAPP for its intended
purpose of drug manufacture, Campbell decided to convert the space to life
sciences laboratories. "It probably would have been worth a lot more money
to us initially had it remained in production of bulk actives," Campbell
says. "But my overall desire was to serve a market need in Lawrence for
good lab space so we could retain some of these companies springing out of KU
and others that might relocate here as a result of the life sciences
initiatives in the Kansas City area."
A Lawrence native and MBA graduate of KU, Campbell
had long believed in financing early stage companies, but found it hard to do
that within the banking industry because such companies have products without
a well-established market and very little tangible collateral that banks can
use. He cites advice from Takeru Higuchi as one of the prime movers in his
decision to move into the life sciences industry." Tak was one of several extremely important
people in my life who encouraged me to risk going out on my own. That was well
over 20 years ago, and I'm now beginning to see these ideas take shape. This is
such an exciting time and I feel blessed to have the opportunity to be at this
place at this time and work with the people I do. I think we're all capable of
doing some great things."
Conversion of the BAPP into laboratories has begun
in earnest. November and December were devoted to an auction and extraction of
the drug manufacturing equipment. Extensive engineering plans show how the
15,000-square-foot space will be divided into individual laboratories. Five
comparably sized laboratories will be operational when the space is fully
converted. Though individually secure, the facilities will be connected by
common hallways and will share reception areas, conference rooms, restrooms, a
loading dock, lockers, and a dining area. Currently, the building's basement
contains a fully operational 2,300-square-foot analytical and wet lab ready for
occupancy.
"We have not gone out as yet to solicit interest." Campbell says. "Word has just spread fairly quickly. We have some serious interest from two groups-both of them from out of state. We would potentially have someone in here the first quarter of this year." This new occupant could remain in this finished basement lab temporarily until the additional lab spaces are complete. They could then rotate into their own lab, vacating the basement space for a new company.
Based upon advice from industry
consultants, engineers have designed labs with an open concept in mind instead
of small chopped up spaces. One explanation for this trend toward open lab
spaces is that it encourages interaction and
cooperation between scientists.
Such collaboration and cooperation
has and will continue to be crucial to successful life sciences initiatives
in the area. Companies and researchers are attracted to Lawrence and the
surrounding area by the growing strength of life science activities at the
University of Kansas and at the Kansas City Area Life Sciences Institute. To
facilitate future cooperation, Campbell hopes to guide just the right companies
to the new laboratory space. "When we recruit tenants for this
space," he says, "we're not going out in a disorganized fashion. We
want to identify those companies or those individuals or that research that
will complement what's already being done here. I'm optimistic we'll be able
to find the right mix that will allow us to succeed and have some
stability."
Campbell said that there are
many factors in place that will foster the reciprocal learning, growth and commercialization
of life sciences initiatives in the area. He specifically cites the talents of
the new president of the Lawrence Regional Technology Center, Matt McClorey.
Campbell also pointed to the Lawrence Life Sciences Group as key to continuing
success. Made up of a number of KU and HBC scientists, the Lawrence Life
Sciences Group are very enthused by the opportunities the new lab space will
provide them. Campbell says that though KU and the HBC have been actively generating
viable commercial opportunities on their own, he hopes this new lab space will
be an important step in supporting these activities and making it easier for
these spin-off companies to establish themselves in Lawrence.
According to Campbell, one of
the companies interested in the space at the former Bulk Active Pilot Plant
facility anticipates having well over 30 employees in the next two to three
years. They will quickly outgrow their new lab/office space. Campbell hopes to
see them and other companies like them continue their lab research while
expanding their commercialization operations into nearby facilities. He
envisions this hub of activity eventually resulting in a life science complex.
"We can have NIH- or NSF-funded
research in the labs and then expand the commercialization effort into adjacent
buildings across the parking lot. From there, we hope they will outgrow even
those spaces and be able to establish themselves in the community, maybe into
other parts of the research park or other areas as the community grows. None of
us can do it alone. Success will require a focused, like-minded approach.
Campbell- Becker will play only a small role in bringing some of these
businesses here. Once some of them establish themselves, the sky's the
limit."
Because both he and his wife
were born and raised in Lawrence, Campbell has a compelling interest in the
boost the new facility could provide the city. A spin-off benefit of the new
laboratory spaces will be that they have the potential of luring stable,
high-paying jobs to the area. "That's been the missing piece in
Lawrence," Campbell says. "Though we've had lots of growth, the city
has remained somewhat of a bedroom community without enough of the industries
that can adequately pay the people who want to live here."
Campbell also thinks the state's
financial situation adds additional urgency for the further establishment of
the life science industry in the Lawrence area. "We all have to figure
out how to be less dependent on tax-supported state funding. That's the
positive side of the financial crisis. It's given us the incentive to address
the fiscal needs of our community. In a way, it has pushed us out of the nest
and given us an opportunity to fly, do something creative." •