By Sara Gilgore – Staff Reporter, Washington Business Journal – Johnson & Johnson Innovation’s D.C. incubator is preparing to leave Children’s National Hospital’s Research and Innovation Campus at Walter Reed.
J&J’s innovation arm informed the pediatric health system that it intends to “begin transitioning site operations and management for select JLabs locations back to site owners in 2026,” Dr. Nathan Kuppermann, Children’s National’s chief academic officer, wrote Tuesday in an internal memo to staff, obtained by the Washington Business Journal.
The JLabs incubator will begin winding down its operations at that site ahead of a planned departure in January 2026, according to the email. Kuppermann said the change “does not alter” the system’s vision or long-term goals and, rather, “opens the door to new possibilities for growth and innovation” at the campus.
Kuppermann wrote that Children’s National is working with JLabs to make sure the transition is smooth for the companies that operate out of its space.
It was unclear Tuesday evening if Johnson & Johnson (NYSE:JNJ) might be winding down any of its other JLabs sites. The company did not immediately return requests for comment.
“Children’s National’s commitment to research and innovation is stronger than ever,” the health system said in a statement late Tuesday to the Washington Business Journal. “We are continuing to explore new and creative ways to support research, incubate new discoveries, and ensure long-term sustainability.”
The health system did not provide additional details but said it will give more updates in the coming months.
JLabs signed on in 2019 to set up the 32,000-square-foot incubator on the then-forthcoming 12-acre campus under the leadership of Dr. Kurt Newman. He retired as CEO of Children’s in summer 2023, when Michelle Riley-Brown assumed the position.
The incubator was envisioned at the time as an anchor for the innovation hub at the former Walter Reed Army Medical Center, to support entrepreneurs working to commercialize research — developing new drugs, medical devices, health technology and precision diagnostics with applications for pediatric patients. Children’s National had sought to have an incubator on the campus after commissioning an economic impact study from D.C. consulting firm McKinsey & Co.
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