A recent report released by Savills, a prominent property advisory firm, underscores a substantial and escalating demand for ‘housing with care’ facilities within Oman. This growing need is predominantly fueled by the sultanate’s rapidly ageing demographic profile. Oman’s average life expectancy has seen a marked increase, rising from 50 to 78 years over the past five decades. Projections from the United Nations indicate that the number of individuals aged over 60 is expected to surge from approximately 220,000 in 2020 to surpass 800,000 by the year 2040.
Historically, the care of the elderly in Oman has been a responsibility primarily undertaken by families. However, a discernible trend towards decreasing household sizes, coupled with families increasingly adopting a nuclear structure rather than extended family arrangements, suggests a potential decline in the capacity of families to provide care for their ageing relatives. This evolving societal pattern is creating a pressing need for alternative care solutions.
This significant demographic shift is poised to unlock considerable opportunities for investors, developers, and operators within the specialized ‘housing with care’ sector. Matthew Wright, head of consultancy for Savills in Oman, suggests that these prospects could be further enhanced if pension funds were to establish frameworks designed to assist with the accommodation costs associated with such senior living schemes. He noted that such initiatives could provide a stable foundation for the sector’s growth.
Globally, the demographic landscape is undergoing a similar transformation, with the number of people aged over 65 anticipated to more than double, reaching 1.5 billion by 2050. Many urban centres are already encountering a ‘super-aged’ status, where this demographic segment constitutes over 20% of the total population. This widespread trend highlights a major, largely untapped opportunity within the senior living market, particularly in the ‘housing with care’ sub-sector.
The ‘housing with care’ model encompasses a variety of residential formats tailored to meet the needs of older individuals who often remain youthful, healthy, and mobile. These facilities are designed to support continued independent living while offering the advantages of a structured community environment. The spectrum of offerings can range from independent-living schemes and retirement villages to more supported assisted-living arrangements. Despite the evident demand and potential, this sector remains notably underdeveloped in numerous markets, including Oman. Unlocking its full growth potential necessitates a comprehensive understanding of the unique cultural nuances, regulatory frameworks, and operational considerations specific to the region.
