Senior living sector still in nascent stage
India is expected to accommodate up to 17% of the world’s elderly population by 2050, says a report by CBRE South Asia
Total estimated target for senior living facilities in 2024 is 1 million, projected to increase to 2.5 million in the next 10 years. Currently, there are 150 million elderly individuals in India, a number expected to rise to 230 million over the next 10-12 years
Mumbai: The senior living sector in India is still in its nascent stages compared to countries like the UK and the US. However, with continued investment and development, the sector is expected to see robust growth, tapping into high-income groups and expanding into urban and tier-II cities. This segment’s expansion is not just about real estate development but about fostering community and enhancing the quality of life for India’s elderly.
As India’s senior living market matures, these developments are just the beginning of a significant transformation in how the nation cares for its elderly population, promising not only growth but a better quality of life for its senior citizens.
India is expected to accommodate up to 17 per cent of the world’s elderly population by 2050, says a report by CBRE South Asia. In India, the segment is witnessing substantial growth, driven by favorable demographics, rising chronic conditions, and increasing awareness. And with the rising number of seniors seeking specialized care and lifestyle options, the demand for senior living facilities has surged significantly in recent years.
India has the largest young population, 66 per cent– about 81 crore-population is below the age of 35. This will double the share of population above age 60 by almost 20 per cent in 2050 from present 10 per cent. It is estimated that about 15 crore population falls under senior citizen bracket and will be about 30 crore by 2050. This rise of senior citizens will have major impact on the society in terms of requirements of specialized housing, healthcare, policies and social norms. Specifically for senior living housing, there will be tremendous potential and demand – however, this niche market is still on upwards trajectory in terms of evolution.
Talking to Bizz Buzz, Swapnil Anil, Executive Director & Head, Advisory Services at Colliers India says, “Apart from country’s ageing population, the following factors are driving the market: increasing life expectancy, rise in nuclear families, older adults who are financially independent and educated, their growing medical demands, and the remittance of non-resident Indians (NRIs) to India after retirement are the main factors.”
In India context, Markets with religious importance or with scenic & serene surroundings are ideal markets for senior living projects. However, proximity to medical facilities and provision of amenities for senior citizens are other key factors. Indian markets are yet to solve the puzzle of financing the senior living housing. Products like reverse mortgage & pure rentals are yet to be accepted in the market, he said.
Over the course of the next few years, it is projected that the demand for senior housing projects in non-metropolitan areas would more than triple. At present, three main stake holders in the market – the developer, the operator and the financer – as active in developing at least 50+ projects across the country. It is noteworthy, that two-third of the supply is expected from tier-2 and tier-3 towns. It is also observed that approximately, 60-65 per cent of supply is from southern states, he added.
In its report ‘Golden opportunities from the silver economy – Analyzing the future of senior care in India’, CBRE said the senior care landscape is rapidly evolving on a pan-India basis, with 18,000 units spread throughout the nation.
As per the report, the total estimated target for senior living facilities in 2024 is around 1 million, projected to increase to 2.5 million in the next 10 years. Currently, there are approximately 150 million elderly individuals in India, a number expected to rise to 230 million over the next 10-12 years.
Developers in the senior living sector are optimistic about its future, emphasising the rising demand for tailored care and lifestyle choices among the elderly. They see a strong potential for ongoing growth and innovation, as demonstrated by their plans to broaden their reach in urban areas and target affluent households. The forecast for this sector remains upbeat, with expected growth in both major cities and secondary markets. Developers are poised to leverage this increasing demand by launching new projects, improving facilities, and establishing strategic alliances to provide holistic senior living solutions.
Sandeep Sonthalia, CEO, Wadhwa Wise City, highlighted the unique benefits of this partnership, stating, "Given our combined strengths, this project will cater effectively to the senior community in Mumbai, offering a mix of modern amenities and community living. Our aim is to create a community that supports active aging, where seniors can enjoy their independence while being part of a vibrant, integrated township."
Further down the coast, Prescon Group has partnered with Manasum Senior Living to launch IKIGAI Goa, a luxury senior living community near Panjim, Goa. This project emphasizes holistic living providing a blend of luxury and wellness facilities designed to promote a long, fulfilling life.
