The senior housing sector is still in its infancy

The total estimated target for senior living facilities by 2024 is 1 million, and is expected to increase to 2.5 million over the next 10 years. Currently, there are 150 million elderly people in India, a number expected to rise to 230 million in the next 10 to 12 years

Mumbai: India’s senior housing sector is still in its nascent stages compared to countries like Britain and the US. However, with continued investment and development, the sector is expected to experience robust growth, appealing to high-income groups and expanding into urban and second-tier cities. The expansion of this segment is not just about real estate development but also about promoting community and improving the quality of life of India’s elderly.

As India’s senior housing market matures, these developments are just the beginning of a major transformation in how the country cares for its elderly population, promising not only growth but also a better quality of life for its seniors.

India is expected to be able to house up to 17 percent of the world’s elderly population by 2050, according to a report by CBRE South Asia. In India, the segment is witnessing substantial growth, driven by favorable demographics, increasing chronic conditions and rising awareness. And with the increasing number of seniors seeking specialized care and lifestyle options, the demand for senior living facilities has increased significantly in recent years.

India has the largest young population, 66 percent; about 81 crore population is below 35 years of age. This will double the share of the population over 60 years old by almost 20 percent in 2050 compared to the current 10 percent. It is estimated that around 15 crore population falls under the senior group and will be around 30 crore by 2050. This rise of seniors will have a major impact on society in terms of specialized housing requirements, healthcare, policies and social norms. There will be enormous potential and demand specifically for senior housing, but this niche market is still on an upward trend in terms of evolution.

Speaking to Bizz Buzz, Swapnil Anil, Executive Director & Head, Advisory Services at Colliers India, said: “Apart from the country’s aging population, the following factors are driving the market: increasing life expectancy, rise in the number of nuclear families, older adults who are financially independent and well-educated, their growing medical demand and the relocation of non-resident Indians to India after retirement are the key factors.”

In the context of India, markets with religious importance or with scenic and serene surroundings are ideal markets for senior housing projects. However, proximity to medical facilities and the range of amenities available to seniors are other key factors. Indian markets are yet to solve the puzzle of senior housing financing. Products such as reverse mortgages and straight rentals have yet to gain acceptance in the market, he said.

Demand for senior housing projects in non-metropolitan areas is expected to more than triple in the coming years. Currently, three major stakeholders in the market – the developer, the operator and the financier – are active in the development of at least 50+ projects across the country. It is noteworthy that two-thirds of the supply is expected from the second and third tier cities. It is also noted that about 60-65 percent of the supply comes from southern states, he added.

In its report ‘Golden opportunities from the silver economy – Analyzing the future of senior care in India’, CBRE says the senior care landscape is rapidly evolving on a pan-India basis, with 18,000 units across the country.

According to the report, the total estimated target for senior housing in 2024 is approximately 1 million, and this is expected to increase to 2.5 million in the next 10 years. Currently, there are approximately 150 million elderly people in India, a number expected to rise to 230 million in the next ten to twelve years.

Developers in the senior living sector are optimistic about its future, highlighting the rising demand for customized care and lifestyle choices among the elderly. They see strong potential for continued growth and innovation, as evidenced by their plans to expand their reach in urban areas and target affluent households. Forecasts for this sector remain optimistic, with growth expected in both major cities and secondary markets. Developers are poised to leverage this increasing demand by launching new projects, improving facilities and forming strategic alliances to provide holistic senior living solutions.

Highlighting the unique benefits of this partnership, Sandeep Sonthalia, CEO, Wadhwa Wise City, said, “Given our combined strengths, this project will effectively cater to the senior living community in Mumbai, with a blend of modern amenities and community living. Our aim is to create a ​to create a community that supports active aging, where seniors can enjoy their independence while being part of a vibrant, integrated community.”

Further up the coast, Prescon Group has partnered with Manasum Senior Living to launch IKIGAI Goa, a luxury senior living community near Panjim, Goa. This project places an emphasis on holistic living, offering a mix of luxury and wellness facilities designed to promote a long, fulfilling life.