The COVID-19 pandemic in 2020-2021 has significantly impacted various aspects of life, putting a halt to many routines and practices that were prevalent before the emphasis on vaccines, masks, and social distancing. Despite the challenges, it has also served as a period of rejuvenation, shining a spotlight on wellness, revitalization, and regeneration.
While the concept of wellness has been around for a while, recent months have elevated its importance to a global scale, influencing industries, businesses, and manufacturing in unprecedented ways. The pandemic has reshaped our perspectives and brought wellness to the forefront as a fundamental solution, addressing longstanding issues that needed attention and resolution.
Recent research conducted by The Global Wellness Institute has shed light on the increasing popularity of wellness, especially within the real estate and construction sectors. On September 28, 2021, the nonprofit organization unveiled new data showcasing remarkable growth in the wellness real estate market.
The study revealed a 22% growth in this sector during the pandemic year, contrasting with the overall decrease of -2.5% in construction projects. Notably, the number of wellness residential projects has tripled from 740 globally in 2017 to over 2,300 presently.
Between 2017 and 2020, the global wellness market witnessed an average annual growth of 22%, expanding from $148 billion in 2017 to $225 billion in 2019 and reaching $275 billion in 2020. The number of wellness residential projects has significantly increased during this period from 740 in 2017 to over 2,300 today.
The research also indicates that the pandemic has further accelerated the shift towards wellness in the real estate and construction industries. Despite an overall -2.5% decline in construction projects from 2019 to 2020, wellness real estate continued to grow by over 22%.
Introduced in the 2018 report “Build Well to Live Well,” the GWI pioneered the definition and measurement of wellness real estate. The latest report, “Wellness Real Estate: Looking Beyond COVID-19,” provides insights into market data and growth rates for the years 2017-2019 and 2019-2020, capturing the impact of the pandemic across global regions and the top 20 national markets. It also forecasts key trends that will shape the market post-COVID.
Key findings from the research were presented at the GWI’s Wellness Real Estate & Communities Symposium in NYC, gathering investors, developers, architects, designers, and medical experts to discuss the promising future of this market.
Ophelia Yeung, senior research fellow at GWI, noted, “Just three years ago, wellness real estate was a relatively unknown concept, but we foresaw a surge in demand. The pandemic has brought the idea of ‘building for human health’ into mainstream consciousness, surpassing growth expectations and general economic trends.”
Wellness real estate, as defined by GWI, involves the incorporation of intentional wellness elements in the design, materials, amenities, and services of residential and commercial properties, including offices, hospitals, mixed-use developments, and leisure facilities.
The symposium featured discussions on numerous wellness real estate and community projects, including developments by organizations such as AMAALA in Saudi Arabia, Amrit Ocean Resort and Residences in Florida, GOCO Hospitality, Lake NONA, WEN Living in San Jose Del Cabo, Mexico, Virtu Resorts in Canada, Six Senses, Serenbe, and Delos Living.
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