The Wildwood-The Villages metro area in central Florida, known for its retirement community, has become the fastest-growing metro for young children in the US this decade. The number of children age 14 and younger has grown by 18.4% in the area, driven by a 19.1% increase in the working-age population. The growth is attributed to the need for workers to provide services to the growing population of retirees. However, raising children in the area presents challenges due to the lack of family-friendly facilities and services. The Villages recently opened a residential development adjacent to the retirement community to accommodate employees and their families. The influx of families is welcomed by older residents, but concerns about affordable housing and overcrowded schools have been raised. The Wildwood-The Villages' median age is 68, the oldest in the nation, but it has declined slightly due to the youth infusion. The growth of young families in the area contrasts with the nationwide decline in the number of children age 14 and under. The largest US metro areas have lost a combined 614,000 children since 2020 [4436a49f].
Saudi Arabia's retirement living market is set to experience significant growth due to the country's aging population. According to a report by Knight Frank, the number of individuals aged 65 or above in Saudi Arabia is projected to increase from 1.11 million in 2022 to 3.58 million by 2035. This demographic shift is driving the demand for comprehensive support and care for seniors, leading to a rise in retirement living facilities in the Kingdom [ca69cb5c].
The global healthcare sector is also expected to contribute to the growth of Saudi Arabia's retirement living market. Investment in care-related real estate reached $38 billion in the year leading up to June 2023, accounting for 4.3% of total global real estate investments. The global population shift towards an aging demographic is driving the demand for elderly care beds, and Saudi Arabia is no exception [ca69cb5c].
Similarly, Malaysia's care economy is projected to reach USD25.5 billion, according to Deputy Economy Minister Datuk Hanifah Hajar Taib. She highlighted the economic opportunities presented by the aging population and encouraged private companies to develop products and solutions targeting the elderly and the caregiver economy. The global market potential from the aging population is projected to be USD4.56 trillion by 2025. Malaysia can leverage this trend to enhance societal well-being and productivity through new economic sectors such as the caregiver economy. Malaysia's industries could benefit from the growing demand for healthcare services, including opportunities in healthcare and long-term care tourism, medical equipment supplies, and advanced medical technologies employing artificial intelligence and robotics. Private companies are encouraged to develop products and solutions targeting the elderly and the caregiver economy [374f27b4] [64216f04] [33000ae4].
The report highlights that North American capital has been a significant contributor to the funds deployed in the past year, accounting for almost 68% of investments. France and Belgium have attracted the highest levels of cross-border investments, while Asia-Pacific has seen record-high acquisitions of operating assets in the senior-living sector. The market value of Asia Pacific's aging population is projected to reach $4.6 trillion by 2025 [ca69cb5c].
In addition, the eurozone is expected to see a 26% growth in the population aged 75 and over in the next decade. The UK, on the other hand, has a low supply of senior living facilities. The North American market, which has over 60.7 million Americans over the age of 65, is also experiencing significant growth, with an expected increase to nearly 70 million in the next five years. The American healthcare industry has seen an average rate growth of 8% across all care types [ca69cb5c].
Private equity firms, REITs, and institutional investors are showing interest in the healthcare sector due to its potential for ESG investing strategies [ca69cb5c] [9bcae5b3].