Market Information
INDUSTRY OVERVIEW
The US Senior Living Market size is projected to grow from USD 92.6 billion in 2023 to USD 118.17 billion by 2028, at a Compound Annual Growth Rate (CAGR) of 5% (Mordor Intelligence). – The senior living industry market value has grown to $94.2 billion as of early 2023 (The Senior List). The growing geriatric population and the rising incidence of brain injuries are expected to boost the growth of the market. The growing prevalence of target diseases and advancements in residential home are expected to drive the market over the forecast period. The rise in the geriatric population is expected to be a major market driver over the forecast period. According to the National Institute on Aging (NIA), globally, around 8.5% of the population is aged 65 years and above. According to the data published by Aging.com, two million housing facilities will be needed for senior residents for adequate living space by 2040.
The concept of continual care retirement communities is gaining traction among seniors with high disposable income. These retirement communities are known to cater to people aged 50 years and above. The idea behind these communities is to prevent seniors from relocating when additional care is needed. As a result, the less than 65 years segment is likely to receive a moderate boost over the forecast period. Technological developments for ALFs are expected to propel the growth of the U.S. market. The development of sophisticated and easy-to-use devices and services, such as internetenabled home monitors, telemedicine, and apps for mobile health, is likely to boost the market 23 growth over the forecast period. For instance, an electronic medication adherence system enables tracking patients’ medication schedules, and whether they are following them. Caregivers can program these devices or software to alert individuals to take their medicines. Hence, the development of sophisticated devices and equipment for ALFs is likely to propel market growth during the forecast period. Based on the nature of the population served and service provision, residents at residential home may be at a high risk of contracting COVID-19. According to the CDC, in the early months of the pandemic, around 2.1 million people lived in residential care or ALFs and nursing homes, which represents 0.6% of the U.S. population. A number of these facilities became hotspots for the transmission of the novel coronavirus and 42% of the total COVID-19 deaths in the U.S. were ALF residents.