Business & Investment

Pandemic boosts a small corner of the real estate market

Sarayu Srinivasan, 77, says she lives in a place where she is “not afraid of Covid.” “I was worried about my safety when I was alone. Now I have no stress.”

In June she moved from her home in the Vadapalani district of Chennai to a suburban living facility for the elderly. “My husband died two years ago and I felt very lonely to be alone, so I moved here.”

Meals are cooked in the shared kitchen, there is a visiting doctor and two ambulances are stationed in case of an emergency. “There is greenery around and you can talk to other women in the park. This place hosts community events, strictly following the protocol of social distance,” she said. “My apartment has a large balcony. I like to sit there and enjoy the surroundings.”

Srinivasan is one of more than 156 elderly families who bought or rented a home in the Ashiana Shubham Senior Living Project. It is on the rise among well-resourced Indians, with a final count of around Rs 1.04 billion over 60 years old. Developers provide services and security, freeing them from the hassle of living in such a gated complex in an apartment or row house. Inquiries in this early market surged during the pandemic where people seek safety. However, supply is limited.

According to Anuj Puri, Chairman of Anarock Property Consultants, this repetitive theme of the pandemic is for the elderly living alone, struggling with the basics, managing without the help of a home, and worrying about existing and potential medical problems. Is to be. “The need for housing in an environment where these factors are processed is now undeniable.”

According to Uncle Gupta, co-managing director of Asiana Housing, which has four gated apartments in Biwadi, Chennai, Jaipur and Pune, people who are really interested in booking will visit the site. Site visit booking rates have risen from about 10% before the pandemic to 20-25% today, indicating growing interest in this segment. “Overall, sales and inquiries look good.”

According to Anarock Research, a pandemic could reshape the future of India’s elderly housing segment, and demand for such housing will grow in the face of current uncertainty.

Increasing nuclear families, increasing life expectancy, and the elderly living independently are becoming new demographics, Puri said. “Such seniors do not settle in traditional elderly housing because they prefer the autonomy of well-equipped elderly housing and fellow companies and can afford it.”

Like Viswanathans. For twelve and a half years, Shyam Viswanathan (61) and Vijayalakshmi (60) have lived in the gated community of Nagaya for the elderly in Coimbatore.

“I came here from Gurgaon just at the age of 48 because my dad was so ill that he couldn’t spend the winter,” Viswanathan said. The couple quit their job at the company and moved here with their parents and two young daughters.

“The facilities here are great and my parents have taken good care of me,” he said, adding that besides doctors and nurses, there is a common kitchen for those who don’t want to cook. It was. “My mother was bedridden. As a freelance consultant, my wife and I had to travel a lot. Thanks to the excellent care provided by CovaiCare, we can do that. I did. “

He lost his father in 2011 and his mother two months ago. “Now my daughters have moved in and my wife and I have decided to stay here because we are elderly people,” he said.

Viswanathan said CovaiCare’s management took great care between the pandemic and the facility and adopted a strict protocol for Covid-19.

“We live like a big family. During the pandemic, there were 4-5 funerals and the deceased children couldn’t come due to travel restrictions,” he said. “Management took care of everything and the kids were able to participate in the ritual through WhatsApp videos.”

Colonel A Sridharan, founder and managing director of Covai Care, said bookings increased during the pandemic. “Demand is 30% more than before,” he said. “Many people from North India want to come and live in our senior care community this year.”

Such projects are taking place in the suburbs of cities such as Biwadi in the metropolitan area, Neral in Mumbai, Taregaon in Pune, and Devanahalli in Bangalore. Of the 55 elderly housing estates, 33 are in Tier 2 cities and 22 are in Tier 1, according to Anarock Research. Unit prices range from 20-80 larks, but rents start at Rs 30 per month and can be high. As Rs1lakh.

The growing demand for this segment is attracting the attention of larger developers.

Godrej Properties Ltd. recently launched Godrej Royale Woods in Devanahalli with special amenities for the elderly. “Banyang” is a dedicated tower for the elderly in this project, said Uday Hussein, head of business south of Godley Property. “The life of the elderly has become a need for an hour after the pandemic.”

Mahindra Lifespaces Ltd. also plans to build housing for the elderly over the next two years. “The pandemic is driving demand and we plan to enter this segment,” said Arvind Subramanian, Managing Director and Chief Executive Officer of the developer.

Max India Ltd. has announced an investment of 300 rupees under the Antara Senior Living brand in senior living projects in Delhi-NCR, Mumbai, Pune, Hyderabad, Bangalore and Chennai over the next four to five years.

These developers are betting on more buyers like Sarayu Srinivasan and Viswanathans who are willing to build a new home in the year of dusk.

For Srinivasan, in addition to comfort, the decision to move to a senior living project also meant that her Chicago-based son didn’t have to worry about living alone. “I’ve arrived at a destination I don’t have to worry about until I die.”

Pandemic boosts a small corner of the real estate market

https://www.bloombergquint.com/bq-blue-exclusive/pandemic-boosts-a-tiny-corner-indias-of-real-estate-market Pandemic boosts a small corner of the real estate market

Back to top button