Projected development of the care market by 2030

Projected development of the care market by 2030

Some studies are researching the future development of the care market up until 2030. No accurate considerations can be made for a longer period of time. Accordingly, the total number of people in need of care will rise to about 3.5 million by the year 2030, which corresponds to an increase of about 575,000. The resulting demand for additional inpatient care places amounts to approximately 350,000, based on 2015 as the starting year. This is based on the so-called status quo scenario, i.e. it is based on the assumption that the proportion of care in nursing homes (home quota) remains the same. Despite the politically promoted principle ‘outpatient before inpatient’, […]

Social welfare facilities, continuing fragmentation despite concentration process

Social welfare facilities, continuing fragmentation despite concentration process

The German market for social welfare facilities is considerably more fragmented than in other European countries. Even numerous acquisitions have not changed this situation fundamentally, as most of them only affected larger companies. Following the wave of mergers and acquisitions of the past few years, the 25 largest operators only make up 18.5% of the market. Many small operators that manage fewer than 20 nursing homes will face economic difficulties. There are also many family businesses, which have to make short-term or medium-term succession plans. Such businesses often work with outdated properties that are no longer fit for the modern market. But those sites often offer considerable market potential, especially […]

Social welfare facilities

Social welfare facilities

The current market situation offers the opportunity to develop a new socially based asset class by investing in age-appropriate residential real estate, also in combination with daycare centres or the development of social housing and medical centres. In the next 15 years, there will be an urgent need for 160,000 missing nursing beds. The corresponding offer of project developers and experts in this area is low compared to the demand, since the real estate developers are currently focusing more on residential real estate and/or traditional commercial real estate. This problem can be solved through investment in older nursing homes or hotel properties in need of renovation, which can be retrofitted […]