UK Retirement Living Rental 2022
JLL forecast the rental market to continue to grow by a further £2.65bn over the next five years as investors continue to look more closely at this growing sector.
- Daniel Thorpe
- Lauren Hetherington
- Harri Morgan
- Anthony Oldfield
Operators and developers are adapting to a sea-change in the mindset and demands of a new generation of customers. We are seeing a greater emphasis on build quality, top of the range facilities and amenities, and a greater range of services and products, which are a far cry from the some of the older ‘retirement housing’ models.
The vast majority of the early growth of IRCs was in the traditional build-for-sale model. That is, however, up until 2017 when the boom in the rental market offering of IRCs commenced. Today, three operators Birchgrove, Hawthorns and Auriens specialise in rental-only offerings, while other operators provide a mixture of available housing types and tenures. We forecast the rental market to continue to grow by a further £2.65bn over the next five years as customers demand greater flexibility and as investors continue to look more closely at this growing sector.
JLL’s first Retirement Living Rental report takes a deep dive into the current position of the market. It examines demand drivers, current rental supply, and the benefits of an expanded retirement living offering for the wider real estate market.