Healthcare / Senior Living

Covid19 Impact and Opportunities
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The health and senior care sectors have been among the fastest-growing and -developing real estate segments in the country in recent years.

The population, which is ageing and has a longer life expectancy, is demanding more and more health services, both public and private, as well as a new lifestyle for those who are dependent and those who still enjoy a great deal of independence.

In the city of Málaga, the Senior Living segment has had a number of centres for many years. After the health situation experienced in recent months, there is a demand for greater professionalism, and interest from investors and operators has increased.

Most of the population is over 35 years old. This data shows an adult and mature population that is moving towards a V-shaped population pyramid. This fact sets the trend for the medium-term need for more health care beds for these people, as well as for new residential models for the elderly. This trend is repeated, on average, in the rest of the large cities in Spain, some of which have shown a large volume of investment in recent years in these segments given the considerable length of time ahead of them.

In 2019 and the first months of 2020, these new models caught the eye of some investors in the city, who see great promise in the capital of the Costa del Sol for its quality of life and good connections.

POPULATION IN ANDALUSIA 2019
POPULATION IN Málaga 2019

HIGHLIGHTS

  • Highly atomised market

  • High investor interest

  • Growth potential

  • Ageing population

  • High health tourism appeal in the province and city of Málaga

  • The sector in the city is under-professionalised

  • Few international operators

  • Need for growth in the medium and long term. The growing demand for hospital and community healthcare facilities will require new, modern and more efficient infrastructures

  • 17 private hospitals

  • 19 elderly care residential facilities

  • The bulk of the population is between 35 and 54 years old

COVID19

IMPACT

OPPORTUNITIES

Emergence of new Senior Living business models

Encouraging the release of public land for this use

Need to regenerate current models. Obsolescence of facilities

Creation of land concession systems (very long term) for the development of projects (locations in consolidated areas)

Outsourcing of medical resources outside general hospitals

Attracting international and highly professional operators

Need for greater professionalisation of the sector and the entry of new international partners

By attracting quality operators, high volume investors will follow

Acceleration in the concentration of market players