India’s demographic landscape is poised for a significant transformation, with projections indicating a gradual increase in the median age from approximately 29 to 38 by the year 2050. Concurrently, the proportion of aged individuals, aged 60 and above, is expected to rise from around 11 percent in 2024 to 21 percent in 2050. These demographic shifts signal a burgeoning demand for senior care services, including housing, within the country.

Acknowledging this demographic trend, industry experts anticipate substantial growth in the senior living market in India. According to Badal Yagnik, CEO of Colliers India, the current nascent stage of the senior living market presents a lucrative opportunity for private organized developers to tap into the burgeoning demand. With rising interest from institutional players and leading real estate developers, the senior housing sector is projected to expand nearly fivefold by 2030.

Factors such as increasing life expectancy, nuclearization of families, higher income levels, and a growing emphasis on post-retirement lifestyle stability are driving the demand for senior living services, particularly in urban areas. Seniors today seek amenities such as fitness centers, recreational activities, and cultural events to support an active and fulfilling lifestyle. Colliers estimates the current demand for senior housing at 18-20 lakh units, with projections indicating a significant increase in the next five to six years.

However, despite the growing demand, the supply of senior housing in India remains limited. Currently, the organized sector offers close to 20,000 units, translating to a mere 1% penetration rate. In contrast, mature markets like the US, UK, and Australia boast penetration rates of 6-7%. Vimal Nadar, Senior Director & Head of Research at Colliers India, predicts that the senior living market in India, currently valued at USD 2-3 billion, will witness a robust CAGR of over 30% and reach approximately USD 12 billion by 2030.

The senior living segment in India primarily offers independent living and assisted living options. Independent living facilities cater to seniors who can manage their daily activities independently but prefer the convenience of community living. On the other hand, assisted living provides additional services such as housekeeping, medical coordination, and emergency response systems.

Major organized developers in this sector include Ashiana, Columbia Pacific, Paranjape, Anatara, and Primus Senior Living.

Achieving a remarkable sellout valued at approximately Rs 5,590 crores, within 3 days.

India’s largest realty firm DLF has sold all 795 apartments for Rs 5,590 crore within three days of the launch of its new luxury housing project in Gurugram, driven by strong demand from consumers including NRIs. In a regulatory filing on Thursday, the company informed about the successful launch of its latest luxury residential project ‘DLF Privana West’, “achieving a remarkable sellout valued at approximately Rs 5,590 crores, within 3 days.” The new project is spread over 12.57-acre comprising 795 apartments.

The average selling price was around Rs 7 crore per apartment. In January this year, the company had sold 1,113 luxury apartments in Gurugram for Rs 7,200 crore within three days of the launch of its project ‘DLF Privana South’, which is spread over 25-acre. Both ‘DLF Privana West’ and ‘DLF Privana South’ are part of its 116-acre township ‘DLF Privana’ located in Sector 76 and 77 at Gurugram in Haryana. According to sources, DLF received Expression of Interests (EOIs) from around 1,550 and 1,600 customers, almost double of total units being offered in this new project, reflecting high demand for ultra-luxury homes. Non-resident Indians (NRIs) lapped up around 27 per cent of the total 795 units.

NRIs have been investing a lot in premium housing projects in Gurugram to earn decent rental income, besides capital appreciation. In January this year, the company had sold 1,113 luxury apartments in Gurugram for Rs 7,200 crore within three days of the launch of its project ‘DLF Privana South’, which is spread over 25-acre. Both ‘DLF Privana West’ and ‘DLF Privana South’ are part of its 116-acre township ‘DLF Privana’ located in Sector 76 and 77 at Gurugram in Haryana. According to sources, DLF received Expression of Interests (EOIs) from around 1,550 and 1,600 customers, almost double of total units being offered in this new project, reflecting high demand for ultra-luxury homes.

Non-resident Indians (NRIs) lapped up around 27 per cent of the total 795 units. NRIs have been investing a lot in premium housing projects in Gurugram to earn decent rental income, besides capital appreciation. Commenting on the development, Aakash Ohri, Joint Managing Director and Chief Business Officer, DLF Home Developers Ltd, said, “After the overwhelming success of DLF Privana’s inaugural project DLF Privana South, ‘DLF Privana West’ emerges as the next chapter in this story, meticulously designed to cater to discerning homebuyers’ aspirations for spacious, luxurious abodes within a vibrant, well-connected community.”

He said NRIs have bought a substantial portion of apartments in this new project. “Our aspiration with DLF Privana and its associated projects is to emulate the success of DLF Phase 5, by curating an integrated ecosystem of luxury residences amidst abundant greenery, fulfilling the most coveted lifestyle requisites.” In March last year, DLF sold 1,137 luxury apartments, priced Rs 7 crore and above, in its housing project in Gurugram for over Rs 8,000 crore within 3 days. Gurugram housing market has witnessed a significant growth in demand for residential properties, leading to a sharp rise in prices. The demand has sustained so far despite the hefty price appreciation.

Overall also, India’s housing market across the top seven major cities has been performing very well post Covid pandemic on pent-up demand and rising aspirations for homeownership. The consumer demand is shifting towards those developers who have a good track record of executing real estate projects on time. DLF is India’s leading real estate developer in market capitalisation. DLF has developed more than 158 real estate projects and developed an area in excess of 340 million square feet. DLF Group has 215 million square feet of future development potential across residential and commercial segments

Godrej Properties’ net profit surged in FY 2023-24, reaching Rs 725.27 crore compared to Rs 571.39 crore the prior year.

Home prices in India are likely to increase by 4-6 per cent this year but rising per capita income will support demand.

A real estate consultancy firm reported a 10% increase in the sales of luxury homes priced at Rs 4 crore and above during the quarter ending on March 31 compared to the previous year. According to CBRE’s ‘India Market Monitor Q1 2024’ report, 4,140 luxury homes were sold between January and March 2024, compared to 3,780 sold during the same period last year.

This growth trend has persisted for the past two years, with sales surging by 75% in 2023 to 12,935 units. Additionally, the share of luxury homes in total sales doubled to 4% in 2023 from 2% the previous year. At the end of March 2024, their share has risen to 5 per cent. Mumbai led in the March quarter by selling 1,330 luxury homes: 15 per cent higher than 1,150 units sold last year.

It was followed by Delhi National Capital Region (NCR) at 1,150 units and Hyderabad at 800 units. While Hyderabad saw a twofold jump in luxury home sales, demand for such properties in Delhi NCR fell from 1,880 units in the same quarter last year. Residential property sales across categories reached 85,000 units in January-March, growing 8 per cent year-on-year.

The largest sales were in the mid-end segment homes (priced between Rs 45 lakh to 1 crore) which compised 47 per cent share in total sales. It was followed by high-end (Rs 1 – 2 crore) and affordable projects (up to Rs 45 lakh). Luxury home sales ranked fifth. Pune, Mumbai, and Bangalore cumulatively accounted for about 65 per cent of the total sales. The report said the demand has also led developers to focus on luxury homes. In the March quarter, there was a 64 per cent increase in new launches of luxury segment units.

“The Indian luxury real estate sector demonstrates robust fundamentals for sustained expansion, underpinned by consistent increases in household income and consumer spending power,” said Anshuman Magazine, chairman and chief executive officer (India, South-East Asia, Middle East & Africa) at CBRE. “These factors are anticipated to cultivate a segment characterized by discerning buyers prioritising quality, financial prudence, and a desire for an elevated living experience.”