CBRE Research identifies mid-market opportunities across the UK, including Southampton.
Investment into mid-market senior living developments is needed to address the shortage of senior living facilities across the UK including in Southampton, according to a new report from global real estate advisor, CBRE.
CBRE’s first senior living survey analysed responses from over 2,000 UK residents aged 55+ and found that 62% of respondents are open to moving into a senior living scheme in the future, with respondents living in Southampton, Birmingham, Edinburgh, and London, in particular, being open to considering moving to a senior living facility.
Nearly 60% of Southampton retirees aged 75+ have not downsized since retirement, while 46% of respondents in Southampton said they were considering a move in the next five years, highlighting the key potential cohort for senior living. Downsizing provides the opportunity to release housing equity, and respondents across a number of cities including Southampton (37%), said they would consider renting in a senior living scheme to free up equity from the sale of their house.
However, the research showed that 1,700 units would be needed in Southampton to meet demand. Across the UK, CBRE estimates that there is an undersupply of 614,000 senior living units.
Earlier this year, CBRE launched the Which City? Which Sector? Real estate prospects over the next decade report in which Southampton, Brighton and Bournemouth were all ranked in the top five for several of the sectors covered in the research, including affordable housing, leisure and hotels.
Emma Eaglestone, Senior Director Residential Valuation Advisory at CBRE Southampton, said: ““Our new research shows there is a need to amplify the choice and quality of housing available to older people.
“We are in a unique position in Southampton where we have an exciting city surrounded by well-connected Hampshire Villages, the New Forest and South Downs National Parks plus a historic coastline. These locations offer a beautiful location to downsize or retire to. This is a prime location for developers who can address this housing shortage and unlock the potential for more diverse housing solutions, offering a variety of different schemes to suit all needs including rental and affordable tenure.”