€185M invested in senior residences since 2018
Just over €65.5 million were invested in senior residence projects in the first six months of 2021.
This is according to the study ‘The Portuguese Senior Living Market’ launched by consultants JLL. The amount is equivalent to 36% of all investment in the segment since 2018 and follows a record year in which €73 million were transacted for the residential real estate segment.
JLL has calculated that around €185 million have been invested over the past three and a half years in the senior residential market, of which 63% was from the acquisition of properties already in operation, while 63% were for projects under development.
The Lisbon district attracted 65% of this investment, followed by the Faro district and other districts (24%) and Porto district (9%).
The consultants estimate that an extra 17,000 beds will be needed by 2025 to achieve the 5% coverage rate defined by the World Health Organisation. This figure results from elderly population growth forecasts which are estimated to reach €2.4 million this year.
Taking into account the current stock of beds, and the number of beds in the pipeline – 8,000 – in 2025, the coverage rate would be 4.3% below the WHO target with a deficit of 17,000 beds which need to be provided in the short term in Portugal to meet the WHO ratio.