Erin nicole davis
Wellness real estate is experiencing a major moment in Canada – and one that will undoubtedly last.
While Canada ranks eighth out of the top 10 national wellness real estate markets, what is striking is the tremendous growth in the sector the country experienced between 2017 and 2020. Over the course of This three-year period, the Canadian wellness real estate industry has experienced massive growth of 240%. increased growth, according to the Global Wellness Institute (GWI). This places the country second among recent global growth leaders.
The GWI defines wellness real estate as commercial, residential or institutional properties that incorporate intentional elements of wellness in their designs, materials and buildings, as well as in their amenities and services.
It could mean anything from high-end air purification systems to fitness facilities or even an abundance of green space.
It’s not just Canada that has seen a noticeable increase in wellness real estate in recent times. From 2017 to 2020, the global market grew by 22% on an annual average, from $ 148 billion in 2017 to $ 225 billion in 2019 to $ 275 billion in 2020, according to the GWI. Residential wellness projects have exploded in those three years, from 740 in 2017 to more than 2,300 today.
Before the pandemic, the wellness real estate market had already started to soar. Between 2017 and 2019, global wellness real estate grew 23% each year, compared to 5.4% growth for all construction. This disconnect has held true for every region of the world, says GWI.
COVID has only increased the need for wellness-centric design to move from a good idea to a necessity. From 2019 to 2020, wellness real estate continued to grow by over 22% globally, even as global construction shrinks -2.5%.
“Just three years ago, wellness real estate was a concept misunderstood by consumers, builders, developers or investors, but we predicted that demand would soon hit like a tsunami. That moment has arrived, ”said Ophelia Yeung, senior researcher at GWI. “The pandemic has brought the idea of ’building for human health’ into the general consciousness of consumers, and recent market growth has far exceeded our expectations, as well as general trends in economic growth.”
Seven countries – the United States, China, Australia, the United Kingdom, Japan, France and Germany – account for 82% of the entire wellness real estate market; the United States and China alone account for about 60%, according to the GWI.
But Canada is certainly making progress. Japan is the only other country to experience significant growth at the same level as us, with a growth rate of 360% in the sector from 2017 to 2020. Meanwhile, the United States, China, the United Kingdom United, France, the Netherlands, Denmark, Switzerland, Singapore, Norway, Italy and Finland have practically doubled their markets.
“So many macro forces – our rapidly aging world, our crises of stress and loneliness, the rise of remote working, a consumer demanding a more sustainable life – mean the growth trajectory of wellness and design homes buildings will only increase, “said Katherine Johnston, Senior Research Fellow GWI.
“But COVID-19 has forced us to see our homes and our built environment in a radically new light, as protectors and enablers of our health and well-being. Wellness real estate is now rapidly shifting from optional to essential. “
Erin nicole davis
Erin Nicole Davis is a born and raised Toronto writer with a passion for the city, its urban affairs and its culture.
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