New Global Wellness Institute report reveals a sector that has
seen uninterrupted momentum before, during and after the
pandemic—with a powerful 18% annual growth rate since 2019
NEW
YORK, May 14, 2024 /PRNewswire-PRWeb/ -- The
non-profit Global Wellness Institute (GWI), the leading
research organization for the global wellness industry, today
released a report filled with new data and insights on the global
wellness real estate market. GWI defines the sector as homes and
buildings that are proactively designed and built to support the
holistic health of their residents. The report finds that wellness
real estate has been by far the fastest-growing market in
the 11-sector wellness economy in recent years, surging
from $225 billion in 2019 to
$438 billion in 2023. To put that
18.1% recent growth rate in perspective, the annual growth rate for
overall global construction was only 5.1%.
More than any other wellness sector,
wellness real estate embodies the multidimensionality of wellness.
When done right, it has the greatest potential within the wellness
economy to improve our holistic wellbeing and that of entire
communities.
With the pandemic dramatically accelerating the understanding
among consumers and the building industry about the critical role
that external environments play in our physical and mental health,
the GWI forecasts that the market will grow 15.8% annually from
2023 to 2028, when it will approach the trillion-dollar mark
($913 billion). The report includes
regional and country data, finding that the US ($181 billion), China ($73
billion), and the UK ($29
billion) remain the three biggest national markets. GWI
researchers also detail the biggest drivers and opportunities—as
well as the biggest challenges—for wellness real estate in the
future. The report was released today at the Global Wellness
Summit's third-annual Wellness Real Estate & Communities
Symposium in Manhattan.
Download the free report HERE.
"As long-time industry researchers, we're not at all surprised
by this finding," noted Katherine
Johnston and Ophelia Yeung,
GWI's senior research fellows. "More than any other wellness
sector, wellness real estate embodies the multidimensionality of
wellness. When done right, it has the greatest potential within the
wellness economy to improve our holistic wellbeing and that of
entire communities. As more people realize that their biggest
investment—their home—is the next frontier of health, the demand
for wellness real estate will only continue to grow."
Global Wellness Real Estate Market, 2017-2028
2017: $148.5 billion
2019: $225.2 billion
2020: $274 billion
2021: $342 billion
2022: $386.6 billion
2023: $438.2 billon
Projected 2028: $912.6 billion
Wellness real estate has been the growth leader in the wellness
industry since the GWI started measuring it in 2017. During the
pandemic year (2019-2020), it was one of the few wellness sectors
that continued to grow rapidly (21.6% growth), even as overall
construction output and global GDP shrank (-0.8% and -2.6%,
respectively). Over the last couple of years, global construction
growth has slowed considerably, from 16.7% in 2020-2021 to only
1.9% in 2022-2023. But between 2022 and 2023, wellness real estate
grew an impressive 13.4%.
The Regional View
Numbers refer to market sizes for 2019 and 2023, and average
annual growth rate 2019-2023
North America: $100 billion––$194 billion––18%
Asia-Pacific: $77.5 billion––$145 billion––17%
Europe: $46 billion––$96 billion––20%
Middle East-North Africa: $710 million––$1.4 billion––19%
Latin America-Caribbean: $550
million––$1.2 billion––22%
Sub-Saharan Africa: $240
million––$390 million––13%
The market is heavily concentrated in North America (44% of total), Asia-Pacific, and Europe, which together account for 99% of the
global sector. Latin
America-Caribbean and
Europe have been the
fastest-growing regional markets from 2019 to 2023. Interestingly,
Middle East-North Africa remained one of the
fastest-expanding markets over the last four years, even with
slower construction growth (including a significant construction
downturn in 2022-2023). North
America has maintained powerful growth since 2017, but it
tapered off in 2022-2023 alongside a slowdown in overall
construction. Asia-Pacific is home
to a number of very large, fast-growing countries for wellness real
estate (e.g., Australia,
Japan, China, India). At the regional level, wellness real
estate growth has outpaced overall construction growth across every
single region since 2019, by a factor of 3-4 times or more.
Top 10 Markets
Numbers refer to market sizes for 2019 and 2023, and average
annual growth rate 2019-2023
United States: $94 billion––$181 billion––17.6%
China: $37 billion––$73 billion––18.4%
United Kingdom: $11 billion––$29 billion––28%
Australia: $15.6 billion––$26 billion––13.3%
France: $9.5 billion––$21 billion––21.3%
Japan: $7.6 billion––$17 billion––22.4%
Germany: $8.7 billion––$13.7 billion––12.1%
Canada: $5.9 billion––$13.3 billion––22.7%
South Korea: $5.7 billion––$9.5 billion––13.8%
India: $5 billion––$9 billion––16%
The report covers the top-20 national markets, and the list
illustrates how heavily concentrated the sector is in just a few
countries. The US (41% of the market in 2023) and Canada, plus a few countries in Asia (China,
Australia, Japan) and Europe (UK, France, Germany), account for 85% of the global
market.
Future Opportunities and Challenges: The report identifies 11
key future drivers and opportunities for the market, including how
wellness features have become nearly ubiquitous in luxury
properties; how healthy buildings will increasingly become key to
public health strategy; how both indoor air quality and
green/natural assets are becoming essential; and how an interest in
planetary health and sustainability is converging with human health
and wellness. But the report also outlines six key challenges,
including how the rise of extreme weather will drive demand for
climate-adaptive features; how the regulatory environment for
construction and urban planning frequently stands in the way of
wellness real estate; and how the trend of premiumization is
widening the gap between the ultra-wellness real estate for the
wealthy and the housing built for the average family. It also
stresses that the desire for affordable and rental wellness homes
represents a major opportunity.
Research sponsors: Fountain Life, which brings together
world-renowned medical and health experts to boost longevity and
performance, and Arch Amenities Group, the leading provider of
amenity management, hospitality consulting and recruiting services
for commercial and residential properties, hotels, spas, private
clubs, and pools, sponsored the research.
About the Global Wellness Institute:
The Global Wellness Institute (GWI), a nonprofit
501(c)(3), is considered the leading global research and
educational resource for the global wellness industry and is known
for introducing major industry initiatives and regional events that
bring together leaders to chart the future. GWI positively impacts
global health and wellness by educating public institutions,
businesses and individuals on how they can work to prevent disease,
reduce stress and enhance overall quality of life. Its mission is
to empower wellness worldwide.
Media Contact
Beth McGroarty, Global Wellness
Institute, 2133000107, beth.mcgroarty@globalwellnesssummit.com,
http://www.globalwellnessinstitute.org
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SOURCE Global Wellness Institute