Senior housing segment in India gains traction, report finds

The senior housing segment in real estate is starting to grow in popularity, according to a report by GRI Club. This area has faced challenges for a long time, but is now becoming a more viable option for companies. Urbanization in India is changing how people view multigenerational living. This shift is reducing demand for dedicated senior living communities. However, the report notes that building and managing these communities can be complicated for developers. As a solution, many real estate developers are now incorporating senior living into larger mixed-use projects. This means that independent senior homes will be located near healthcare facilities, recreational spaces, and family housing. This approach creates a more appealing and sustainable living environment. The report also points to the growing interest in co-living spaces. Young professionals in cities are driving demand for flexible, rental housing options. Although co-living became popular before the COVID-19 pandemic, its growth faced setbacks during that time. Now, rising workforce mobility and affordability issues are renewing interest in these living arrangements. However, the co-living market remains underdeveloped in India. Investors are cautious due to low yields and operational complexities. Many institutional players are hesitant to invest heavily because of management challenges and uncertain returns. Lastly, branded residences, especially those linked to global hotel brands, are becoming more popular. These properties offer luxury amenities and services that appeal to high-net-worth individuals looking for exclusive living experiences.