Senior living, over the past decade, has gained traction in the market. It has evolved into a Senior living has evolved into a blend of real estate, hospitality, and healthcare to address the needs of senior population. The range of services provided include community living, assisted living, services catering to impairments, and continuing care retirement services (CCRCs). This holistic approach towards catering to senior population rose amidst the rising cases of abandonment of senior population in the country. This direction of guided living allows the senior population to facilitate this transition with dignity in a guarded environment. Senior living caters to individuals typically over 60 years of age with the primary goal of promoting independence, social engagement, and holistic convenience. This places a strong emphasis on enhancing their quality of life, customized care, and cultivating a robust sense of community. The senior living industry’s adaptability and focus on meeting the changing preferences of older adults have positioned it as a crucial component in addressing the challenges and opportunities presented by an ageing global population.

I. India is the home to world’s second largest elderly population in 2024

The country that is celebrated for its youthful demographic composition, the share of ageing population is increasing. While still relatively young with only 11% of its populace over 60, the sheer scale of India’s population means this translates to a overwhelming 156.7 million elderly citizens as of 2024

India is experiencing a significant demographic shift, with its senior population expected to more than double to 346 million by 2050, making up around 21% of the population. This change coincides with the country's anticipated "demographic dividend," where a large working-age population could drive economic growth. However, India faces a dual challenge: harnessing the benefits of its working-age population while creating strong support systems for its growing elderly population. The old-age dependency ratio is projected to nearly double from 17 to 33% by 2050, posing major challenges in healthcare, pensions, and intergenerational support.

With the current pace of growing senior population, the % share of senior age group as against the entire population will reach a staggering 22%

II. More concentration of senior population in southern India: Supply side perspective

The southern states of India, especially Kerala and Tamil Nadu, have the highest old-age dependency ratios in the country. These regions, being more advanced on the development spectrum, are characterized by lower fertility and mortality rates, resulting in a larger proportion of senior citizens requiring support.

Over the past decade, India's senior living sector has seen a significant shift, with a notable rise in retirement communities and assisted living facilities. This change reflects changing social attitudes and a growing awareness of the elderly's unique housing needs. The sector has shown remarkable resilience, thriving in the post-pandemic era. This resurgence has led to a surge in new projects, with developers tapping into the growing market. Senior living developers are now expanding their offerings with a range of senior-friendly housing options, catering to the diverse needs of India's aging population.

India's senior living industry is undergoing significant growth, with over 20,000 residential units across the country. The southern region dominates the market with a 60% share, driven by its advanced development and greater acceptance of senior living concepts. Additionally, the presence of many Non-Resident Indians (NRIs) with parents in the region contributes to this dominance. The sector is growing in both Tier 1 and Tier 2/3 cities, each offering distinct benefits. Tier 1 cities provide access to modern infrastructure and healthcare, while Tier 2/3 cities offer a peaceful environment, favorable climate, and lower living costs, making them attractive to seniors seeking a more relaxed lifestyle.

III. India’s senior population to surpass 191 million by 2030: Demand side perspective

India's senior living sector primarily targets affluent individuals aged 60+, particularly in urban areas where 37% of the population resides. The growing trend of nuclear families in cities has increased the demand for specialized senior living options, especially among financially secure seniors. According to the Longitudinal Ageing Study of India (LASI), many urban elderly live alone or with non-family members, highlighting the need for such facilities. The current target market is estimated to be around 1.57 million households in 2024, projected to grow to 2.27 million by 2030. The demand for assisted living and senior care facilities in India is expected to grow from 0.36 million households in 2024 to 0.59 million by 2030, driven by the increasing needs of the aging population, particularly those aged 75+. However, the sector faces challenges such as cultural barriers, affordability, and ensuring quality of life for residents. To realize its growth potential, the industry must address these issues while catering to the rising demand for specialized elder care services.

*The data and excerpts are taken from JLL Research Report 2024