Senior living housing demand increases during covid, expected to rise in coming years: Housing.com

The demand for senior housing has improved during the COVID-19 pandemic, said Housing.Com. This is expected to expand in the following years, driven by a focus on health and well-being combined with a rapidly ageing population, PTI reported.

Housing.Com, a subsidiary of REA India, published research titled 'The Silver Economy: A perspective on senior living in India' on Tuesday.

"Senior Living Housing is poised to become an important residential asset class as demand for retirement homes is likely to grow exponentially over the next three decades with India's fast ageing population," it said in a statement.

According to the news agency, senior living housing, which is still in its nascent stage, has come into focus after the outbreak of the COVID-19 pandemic.

The report said real estate developers have begun to respond to this demand by either developing independent senior living projects or erecting specialized towers with appropriate services for elderly persons within a typical group housing project.

"India's 1.3 billion population is aging faster than before. The population of senior residents (above 60 years) is projected to register a 130 percent growth between 2020-2050 and is set to reach a whopping 320 million from the current 139 million," said Dhruv Agarwala, Group CEO, Housing.Com, Makaan.Com, and PropTiger.Com.

According to him, the sheer size of this age group's population gives a big investment opportunity in this niche space, PTI mentioned.

"There is a genuine case for development of senior living as a separate asset class in India real estate sector similar to co-working and co-living that have emerged as important asset classes in the last few years," he added.

PTI reported the southern cities of India have emerged at the forefront, accounting for 70% shares of all senior housing projects in the country. The majority of senior living projects in India are located in the southern cities, with Bengaluru, Chennai, Kochi, and Coimbatore leading the tally, followed by the west and north.

Major developers in this segment include Ashiana Housing, Columbia Pacific Communities, and Antara by the Max Group.

According to Mohit Nirula, CEO of Columbia Pacific Communities, the year 2022 will be a watershed moment for this nascent but vital industry.

"The solution offered by well-designed and managed senior living communities serves the needs of its residents on the day they move in and is geared to adapt and evolve as these needs change over time," he said.

As senior living communities continue to flourish in metros and smaller towns throughout the nation, Ankur Gupta, Ashiana Housing's Joint Managing Director, predicted that a variety of aspects in terms of services and facilities will evolve in the coming years, PTI said.

"However, developers need to focus on making these projects more viable from the point of view of consumers. In times to come, the development firms will need to add superior quality projects to their portfolios and infuse premium community living experiences," Gupta said.

Senior living facilities, according to Rajit Mehta, MD & CEO of Antara Senior Care and MD of Max India, are ideally equipped to ensure the overall well-being of elderly people.

"We need more structured care programs, targeted policies, specialized medical services, senior-friendly architecture, and socio-economic/financial interventions to ensure a better quality of life for them," he said.

Real estate developers, according to the report, are providing senior living housing projects for outright purchase or lease.
Senior living housing is classified into four types: independent living, assisted living, skilled or nursing care, and continuing care retirement community.

Household services, recreational facilities, and community spaces are among the amenities provided by builders, PTI mentioned.

Such projects also have medical services including ambulances, regular medical check-ups, hospital partnerships, and, in certain situations, round-the-clock medical professionals.

According to the report, important demand drivers include increasing elderly population, a rise in nuclear families, financially independent, upwardly mobile, and educated senior citizens, an increase in geriatric medical demands, and NRIs returning to India after retirement, as per PTI reported.

A large number of senior citizens have begun looking for retirement houses in the Rs 1-2 crore range, according to a report by Housing.Com.

2BHK flats in the sub-Rs 45 lakh price range continue to be the most popular configuration.