As senior living picks up in India, a 25-year old policy set to get a refresh

“Right now, the ministry is working on two areas. We had come out with a policy in 1999 on senior citizens. Now, we are in a position where, after wide consultations with stakeholders, the new policy is in the making. It will give us a direction for the next 25 years. The other thing is amendments to the 2007 act, based on challenges or inputs that have been received over a period of time. This shows very clearly the intent and the way the government is preparing the country for the senior citizens,” Yadav said.

Both the 1999 policy and the 2007 act, which was amended in 2019, include clauses dealing with protection of property rights and old age homes. The changes are likely to address the evolving landscape of senior care, now characterised by active participation from private service providers, developers, and operators. In their current form, both policy and legislation deal primarily with old age homes supported by state or local governments. However, the senior living market now encompasses a much broader array of players, services, unit types, and a new dynamic between buyers, developers, and operators.

60% market concentrated in South India

The share of citizens aged 60-plus is set to increase from 157 million in 2024 (11 per cent of total population) to 260 million in 2040 (16 per cent) and 346 million in 2050 (21 per cent). “The challenge is the growing numbers. (The government) has to work with the private sector… The other thing is the feminization (of senior population), as people above 60 are more women and widows than men because the life expectancy for women is much higher than for men,” Yadav said.

Since 2022, senior living launches in India have averaged 2,000 units per year, almost double of around 1,100 units launched annually between 2014 and 2021, according to a new JLL report launched at the event. The report added that 60 per cent of India’s senior living market is concentrated in the south, followed by 20 per cent in the north, 16 per cent in western India, and 4 per cent in east India.

The report also found that the top 10 players in the senior living market, including Ashiana Housing, Columbia Pacific, Antara, Pranjape, Athulya, Primus Life, and Covai Care, account for 81 per cent of India’s total senior living inventory. Moreover, 81 per cent of launched units are priced between Rs 50 lakh to Rs 1 crore and 86 per cent are sized between 500 to 1,500 square feet. The demand for senior living units is set to touch 2.3 million units by 2030 compared to 1.6 million units in 2024.

“By 2050, one in every five Indians will be a senior. That represents about 70 per cent of the world’s population of seniors. It’s a very large and staggering number. Life expectancy has gone up in India, fortunately, but so has the disease burden. As you grow older, there are four Is–instability, immobility, impairment and incontinence,” Rajit Mehta, ASLI Chairman and CEO of Antara Senior Living said.

Mehta added that post-Covid, seniors are increasingly seeking an active lifestyle and have also become very digitally savvy. “They also want people to curate services for them. Now, you see a lot of travel portals coming up for curating travel procedures. A lot of geriatric care hospitals are also coming up for seniors. Many have now expressed a desire to live amongst people who are non-seniors,” he said. Antara has also launched its first intergenerational project where seniors and non-seniors live together.

Need for a single nodal agency

In terms of government support, Mehta suggested there should be one nodal agency that deals with senior care, which deals with issues of social justice, health, housing, and infrastructure. He added that a taskforce can also be created to study best practices followed in countries like Japan and Switzerland, where senior care is very developed.

Mehta also suggested that when master planning is done for cities, land should be demarcated separately for senior living so that allocation is easier and costs more manageable.

Anticipating rapid expansion in the senior living segment, policymakers and regulators are moving quickly. In February, the government’s apex think tank NITI Aayog released a report recommending reforms, including accreditation for senior care facilities and a single window approval to fast-track projects. The latter recommendation is especially crucial, given the time-sensitive needs of senior buyers and the real estate sector’s reputation for long delays in handing over possession.

Moreover, in March, the social justice and empowerment ministry set minimum standards for senior citizen homes, followed by Maharashtra’s Real Estate Regulatory Authority (RERA) drafting model guidelines for senior living projects in May. The central government’s focus on senior care is also set to intensify, evident from its recent decision to extend the Ayushman Bharat PM-JAY insurance programme to citizens aged 70 and above and Insurance Regulatory and Development Authority’s (IRDAI’s) scrapping of age limits on purchase of health insurance policies.

In its report on elderly-friendly living/housing sector reforms, NITI has recommended the development of a regulatory framework “to support the development of the private sector and provide necessary market stewardship while ensuring the highest quality of service delivery”. It also advocated for a single window approval as a “4–5-year development cycle is not a desirable condition for seniors”.