A report by real estate consultancy CBRE predicts that India will have approximately 1.5 million new senior living facilities over the next decade. This is due to the country's elderly population more than doubling during that time period. CBRE made these projections in its report titled 'Golden opportunities from the silver economy - analysing the future of senior care in India'.

The senior living segment includes independent housing and support services that provide elders social engagement and independence. Examples are independent living communities, assisted living facilities, memory care units, and continuing care retirement communities.

CBRE noted that 17% of the world's elderly population (aged 60 and older) will be located in India by 2050. Currently, India has around 150 million elderly citizens, and that number is projected to increase to 230 million within the next 10-12 years.

The report estimated that India will need around 1 million senior living units by 2024, increasing to 2.5 million units over the following decade. Currently, India only has 18,000 senior living units, representing a penetration rate of just 1%. In comparison, penetration rates are 11% in the UK, 6.7% in Australia, and 6% in the US. This shows that there is significant room for growth in this segment compared to more mature markets where senior living is already well-established and growing steadily.

As per a research report by Mordor Intelligence, the India Senior Living Market size is estimated at USD 11.16 billion in 2024, and is expected to reach USD 17.99 billion by 2029, growing at a CAGR of 10% during the forecast period (2024-2029).

Developers have shown increasing interest in senior living, especially in South India which accounts for 62% of existing supply. Southern states also have stronger healthcare infrastructure and awareness of geriatric care.

The report noted that the promising trend in senior living facilities in Southern states is driven by several factors. This dominance is linked to the region's favourable climate, improved connectivity, presence of prominent healthcare players and a higher percentage of parents of NRIs leading to higher affordability levels. There is also a growing acceptance of nuclear family structures as evidenced by a higher proportion of elderly living alone in the South compared to Northern states.

Southern states also have more prominent facilities for tertiary healthcare and greater awareness of geriatric care services. This is an important factor for senior care as nearly 70% of Indian seniors have chronic health conditions like heart disease, diabetes, vision problems, and hypertension. Furthermore, the availability of trained staff is enhanced in these regions due to their focus on the healthcare sector, which further improves the quality of senior care.

Major senior care companies are headquartered in Chennai, Coimbatore and Bengaluru. In Northern India, Haryana, Rajasthan, Uttarakhand, Uttar Pradesh and Himachal Pradesh have the highest market share of senior care units.

CBRE expects future expansion to focus on cities like Chennai, Bengaluru, Hyderabad, Coimbatore, Pune and the National Capital Region. Mumbai, Pune, Ahmedabad, Panaji, and Surat are some of the most opted retirement destinations in west India. Developers see potential to meet growing demand through new projects and strategic partnerships.

Predictions for the medium to long term market indicate that, when compared to metros, many more senior living communities would come up in non-metro cities. It is anticipated that demand for senior living projects in non-metro cities will more than triple over the next four to five years. These cities have become more appealing as a result of attractive financing options, the availability of land, and seniors appreciate the open spaces and low population densities. It also provides opportunities for developers to create new projects in less competitive markets.

Major companies in India that focus on senior care include Antara Senior Care, Columbia Pacific Communities, Ashiana Housing Ltd, Paranjape Schemes (Construction) Ltd, Covai Property Centre (I) Pvt. Ltd, Oasis Senior Living, Primus Lifespaces Pvt. Ltd, among others. Manasum Senior Living recently launched IKIGAI Goa which offers a luxury retirement community. Ashiana has multiple senior living projects across Pune, NCR, Jaipur and Chennai. It has invested 575 crores in senior living projects in Pune's Talegaon and Hinjewadi areas, and also launched Ashiana Vatsalya in Chennai this year. Columbia Pacific Communities and Asset Homes are offering luxury senior living projects branded as 'Young@Heart'. Even government bodies are venturing into this space. Lucknow Development Agency (LDA) is also planning to develop a senior citizen housing society in Gomti Nagar. These companies demonstrate the growing focus on providing housing and care options tailored for the needs of India's aging population.

The projections indicate tremendous potential for growth in India's senior living sector. As awareness increases and more options become available, senior living communities are expected to become a much more mainstream housing choice for elderly Indians. Developers are recognizing the sizable market opportunity and increasing investment in this underserved area. If the projections come to fruition, senior living could become a major new asset class within the country's real estate industry over the next 10-15 years.