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NEWS
Wellness real estate market booming – forecast to reach $913bn by 2028, reports GWI
POSTED 17 May 2024 . BY Megan Whitby
Established operators like SHA Wellness are making substantial investments in wellness real estate – the group’s upcoming Emirates outpost will feature a large real estate component with 150 residences and 120 suites Credit: SHA Wellness

Credit: GWI
More than any other wellness sector, wellness real estate embodies the multidimensionality of wellness
– Katherine Johnston
The GWI reports that wellness real estate surged from US$225 billion in 2019 to US$438 billion in 2023, with 18.1 per cent annual growth
The findings come from the GWI's latest research paper – Wellness Real Estate: Market Growth (2019-2023) and Future Developments – which indicates wellness real estate is the fastest-growing segment in the wellness economy
The market is projected to grow 15.8 per cent annually, reaching US$913 billion by 2028, driven by increased awareness of the impact of environments on health and wellbeing
The US, China and the UK lead the market, accounting for the majority of global wellness real estate investments
The Global Wellness Institute (GWI) has released promising new research on the wellness real estate market at its third-annual Wellness Real Estate & Communities Symposium in Manhattan.

The GWI defines wellness real estate as homes and buildings that are proactively designed, built and operated to support the holistic health of their residents.

Called Wellness Real Estate: Market Growth (2019-2023) and Future Developments, the paper reveals wellness real estate is by far the fastest-growing segment in the 11-sector wellness economy, surging from US$225 billion in 2019 to US$438 billion in 2023.

This represents an 18.1 per cent annual growth over the past four years, which is significantly higher than the 5.1 per cent annual growth rate for the overall global construction industry.

According to the GWI, the pandemic supercharged the market because it dramatically accelerated the understanding among consumers and the building industry about how much external environments impact our physical and mental health.

Now, the GWI forecasts that the sector will grow 15.8 per cent annually from 2023 to 2028 when it will approach the trillion-dollar mark (US$913 billion).

“As long-time industry researchers, we’re not at all surprised by this finding,” said 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 realise that their biggest investment – their home – is the ‘next frontier of their health’, the demand for wellness real estate will only continue to grow.”

The report includes regional and country data and finds that the US (US$181 billion, 41 per cent of the global market), China (US$73 billion) and the UK (US$29 billion) remain the three biggest national markets. It also analyses the biggest drivers and opportunities – as well as the biggest challenges – for wellness real estate in the future.

Global wellness real estate market, 2017-2028
• 2017 – US$148.5 billion.
• 2019 – US$225.2 billion.
• 2020 – US$274 billion.
• 2021 – US$342 billion.
• 2022 – US$386.6 billion.
• 2023 – US$438.2 billion.
• Projection for 2028 – US$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 per cent growth), even as overall construction output and global GDP shrank (-0.8 per cent and -2.6 per cent respectively).

Over the last couple of years, global construction growth has slowed considerably, from 16.7 per cent in 2020-21 to only 1.9 per cent in 2022-2023. But, between 2022 and 2023, wellness real estate grew an impressive 13.4 per cent.

The regional view
(Numbers refer to market sizes for 2019 and 2023 and average annual growth rate 2019-2023)

• Latin America-Caribbean: US$550 million - US$1.2 billion (+ 22 per cent).
• Europe: US$46 billion - US$96 billion (+ 20 per cent).
• Middle East-North Africa: US$710 million - US$1.4 billion (+ 19 per cent).
• North America: US$100 billion - US$194 billion (+ 18 per cent).
• Asia-Pacific: US$77.5 billion - US$145 billion (+ 17 per cent).
• Sub-Saharan Africa: US$240 million - US$390 million (+ 13 per cent).

The GWI discovered that the market is heavily concentrated in North America (making up 44 per cent of the market in 2023), Asia-Pacific and Europe, which together account for 99 per cent of the global sector.

Latin America-Caribbean and Europe have been the fastest-growing regional markets from 2019 to 2023. The Middle East-North Africa also 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.

Meanwhile, Asia-Pacific is home to several 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 region since 2019, by at least 3-4 times or more.

Top 10 markets
(Numbers refer to market sizes for 2019 and 2023, and average annual growth rate 2019-2023)

• US: US$94 billion - US$181 billion (+ 17.6 per cent).
• China: US$$37 billion - US$73 billion (+ 18.4 per cent).
• UK: US$11 billion - US$29 billion (+ 28 per cent).
• Australia: US$15.6 billion - US$26 billion (+ 13.3 per cent).
• France: US$9.5 billion - US$21 billion (+ 21.3 per cent).
• Japan: US$7.6 billion - US$17 billion (+ 22.4 per cent).
• Germany: US$8.7 billion - US$13.7 billion (+ 12.1 per cent).
• Canada: US$5.9 billion - US$13.3 billion (+ 22.7 per cent).
• South Korea: US$5.7 billion - US$9.5 billion (+ 13.8 per cent).
• India: US$5 billion - US$9 billion (+ 16 per cent).

The report covers the top 20 national markets and illustrates how heavily concentrated the sector is in just a few countries.

The US (41 per cent of the market in 2023) and Canada, plus a few countries in Asia (China, Australia, Japan) and Europe (UK, France, Germany), account for 85 per cent of the global market.
RELATED STORIES
  US named world’s largest wellness economy, reaching US$1.8 trillion valuation


The Global Wellness Institute (GWI) has released new data on the US’ wellness economy, valuing it at US$1.8 trillion.
  GOCO and Fullerton Fund Management collaborate on wellness investment, reveals Ingo Schweder


GOCO Hospitality is collaborating with Fullerton Fund Management (Fullerton) to invest in wellness-centric properties in the Asia-Pacific region, via the Fullerton Thai Private Equity fund.
  Global wellness economy reaches record-breaking $5.6trn – predicted to hit $8.5trn by 2027


The global wellness economy will be worth US$8.5 trillion by 2027, according to new research unveiled by the Global Wellness Institute (GWI).
MORE NEWS
One&Only’s new oceanfront spa in Greece offers treatments inspired by Greek mythology and Ayurveda
One&Only Resorts has introduced a new three-storey spa on the picturesque Greek island of Kéa, located at its recently launched oceanfront property, One&Only Kéa Island Resort and Private Homes.
Report identifies diversity, equity and inclusion challenges in health club sector
Diversity, equity and inclusion in the European fitness industry is examined in a new report which provides eye-opening findings and a starting point for change.
RLA Global: Wellness hotels experience positive growth trend globally in 2023
Hotels incorporating wellness amenities experienced a significant boost in Total Revenue per Available Room (TRevPAR) in 2023, according to the latest Wellness Real Estate Report by RLA Global, produced in partnership with P&L benchmarking firm HotStats.
World leaders gather at luxury Italian wellness retreat Borgo Egnazia for G7 Summit
The 2024 G7 Summit is now underway at a destination spa resort in Puglia, Italy, with leaders from Canada, France, Germany, Italy, Japan, the UK and the US convening to address some of the world’s most urgent issues.
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DIRECTORY
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22-22 Jun 2024

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+ More diary  
 
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©Cybertrek 2024
Uniting the world of spa & wellness
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Sign up here ▸
News   Products   Magazine   Subscribe
NEWS
Wellness real estate market booming – forecast to reach $913bn by 2028, reports GWI
POSTED 17 May 2024 . BY Megan Whitby
Established operators like SHA Wellness are making substantial investments in wellness real estate – the group’s upcoming Emirates outpost will feature a large real estate component with 150 residences and 120 suites Credit: SHA Wellness
Credit: GWI
More than any other wellness sector, wellness real estate embodies the multidimensionality of wellness
– Katherine Johnston
The GWI reports that wellness real estate surged from US$225 billion in 2019 to US$438 billion in 2023, with 18.1 per cent annual growth
The findings come from the GWI's latest research paper – Wellness Real Estate: Market Growth (2019-2023) and Future Developments – which indicates wellness real estate is the fastest-growing segment in the wellness economy
The market is projected to grow 15.8 per cent annually, reaching US$913 billion by 2028, driven by increased awareness of the impact of environments on health and wellbeing
The US, China and the UK lead the market, accounting for the majority of global wellness real estate investments
The Global Wellness Institute (GWI) has released promising new research on the wellness real estate market at its third-annual Wellness Real Estate & Communities Symposium in Manhattan.

The GWI defines wellness real estate as homes and buildings that are proactively designed, built and operated to support the holistic health of their residents.

Called Wellness Real Estate: Market Growth (2019-2023) and Future Developments, the paper reveals wellness real estate is by far the fastest-growing segment in the 11-sector wellness economy, surging from US$225 billion in 2019 to US$438 billion in 2023.

This represents an 18.1 per cent annual growth over the past four years, which is significantly higher than the 5.1 per cent annual growth rate for the overall global construction industry.

According to the GWI, the pandemic supercharged the market because it dramatically accelerated the understanding among consumers and the building industry about how much external environments impact our physical and mental health.

Now, the GWI forecasts that the sector will grow 15.8 per cent annually from 2023 to 2028 when it will approach the trillion-dollar mark (US$913 billion).

“As long-time industry researchers, we’re not at all surprised by this finding,” said 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 realise that their biggest investment – their home – is the ‘next frontier of their health’, the demand for wellness real estate will only continue to grow.”

The report includes regional and country data and finds that the US (US$181 billion, 41 per cent of the global market), China (US$73 billion) and the UK (US$29 billion) remain the three biggest national markets. It also analyses the biggest drivers and opportunities – as well as the biggest challenges – for wellness real estate in the future.

Global wellness real estate market, 2017-2028
• 2017 – US$148.5 billion.
• 2019 – US$225.2 billion.
• 2020 – US$274 billion.
• 2021 – US$342 billion.
• 2022 – US$386.6 billion.
• 2023 – US$438.2 billion.
• Projection for 2028 – US$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 per cent growth), even as overall construction output and global GDP shrank (-0.8 per cent and -2.6 per cent respectively).

Over the last couple of years, global construction growth has slowed considerably, from 16.7 per cent in 2020-21 to only 1.9 per cent in 2022-2023. But, between 2022 and 2023, wellness real estate grew an impressive 13.4 per cent.

The regional view
(Numbers refer to market sizes for 2019 and 2023 and average annual growth rate 2019-2023)

• Latin America-Caribbean: US$550 million - US$1.2 billion (+ 22 per cent).
• Europe: US$46 billion - US$96 billion (+ 20 per cent).
• Middle East-North Africa: US$710 million - US$1.4 billion (+ 19 per cent).
• North America: US$100 billion - US$194 billion (+ 18 per cent).
• Asia-Pacific: US$77.5 billion - US$145 billion (+ 17 per cent).
• Sub-Saharan Africa: US$240 million - US$390 million (+ 13 per cent).

The GWI discovered that the market is heavily concentrated in North America (making up 44 per cent of the market in 2023), Asia-Pacific and Europe, which together account for 99 per cent of the global sector.

Latin America-Caribbean and Europe have been the fastest-growing regional markets from 2019 to 2023. The Middle East-North Africa also 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.

Meanwhile, Asia-Pacific is home to several 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 region since 2019, by at least 3-4 times or more.

Top 10 markets
(Numbers refer to market sizes for 2019 and 2023, and average annual growth rate 2019-2023)

• US: US$94 billion - US$181 billion (+ 17.6 per cent).
• China: US$$37 billion - US$73 billion (+ 18.4 per cent).
• UK: US$11 billion - US$29 billion (+ 28 per cent).
• Australia: US$15.6 billion - US$26 billion (+ 13.3 per cent).
• France: US$9.5 billion - US$21 billion (+ 21.3 per cent).
• Japan: US$7.6 billion - US$17 billion (+ 22.4 per cent).
• Germany: US$8.7 billion - US$13.7 billion (+ 12.1 per cent).
• Canada: US$5.9 billion - US$13.3 billion (+ 22.7 per cent).
• South Korea: US$5.7 billion - US$9.5 billion (+ 13.8 per cent).
• India: US$5 billion - US$9 billion (+ 16 per cent).

The report covers the top 20 national markets and illustrates how heavily concentrated the sector is in just a few countries.

The US (41 per cent of the market in 2023) and Canada, plus a few countries in Asia (China, Australia, Japan) and Europe (UK, France, Germany), account for 85 per cent of the global market.
RELATED STORIES
US named world’s largest wellness economy, reaching US$1.8 trillion valuation


The Global Wellness Institute (GWI) has released new data on the US’ wellness economy, valuing it at US$1.8 trillion.
GOCO and Fullerton Fund Management collaborate on wellness investment, reveals Ingo Schweder


GOCO Hospitality is collaborating with Fullerton Fund Management (Fullerton) to invest in wellness-centric properties in the Asia-Pacific region, via the Fullerton Thai Private Equity fund.
Global wellness economy reaches record-breaking $5.6trn – predicted to hit $8.5trn by 2027


The global wellness economy will be worth US$8.5 trillion by 2027, according to new research unveiled by the Global Wellness Institute (GWI).
MORE NEWS
One&Only’s new oceanfront spa in Greece offers treatments inspired by Greek mythology and Ayurveda
One&Only Resorts has introduced a new three-storey spa on the picturesque Greek island of Kéa, located at its recently launched oceanfront property, One&Only Kéa Island Resort and Private Homes.
Report identifies diversity, equity and inclusion challenges in health club sector
Diversity, equity and inclusion in the European fitness industry is examined in a new report which provides eye-opening findings and a starting point for change.
RLA Global: Wellness hotels experience positive growth trend globally in 2023
Hotels incorporating wellness amenities experienced a significant boost in Total Revenue per Available Room (TRevPAR) in 2023, according to the latest Wellness Real Estate Report by RLA Global, produced in partnership with P&L benchmarking firm HotStats.
World leaders gather at luxury Italian wellness retreat Borgo Egnazia for G7 Summit
The 2024 G7 Summit is now underway at a destination spa resort in Puglia, Italy, with leaders from Canada, France, Germany, Italy, Japan, the UK and the US convening to address some of the world’s most urgent issues.
Minor devises new medi-wellness concept for Anantara, debuting in Phuket in Q3
Minor Hotels CEO Dillip Rajakarier has unveiled plans to introduce an innovative medi-wellness concept to the group's Anantara Hotels, Resorts and Spas brand, with ambitions to expand the concept to additional resorts in the future.
Global Wellness Day 2024 shatters records as 1 billion people unite for wellness and nature
Global Wellness Day (GWD) marked its 13th anniversary on Saturday, 8 June and was reportedly celebrated by a record-breaking 1 billion people worldwide, making it the most successful year yet.
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FEATURED SUPPLIERS

Embrace the chill: TechnoAlpin's Snowsky revolutionises post-fitness recovery with falling snow
In the fast-paced world of fitness and wellness, where high-intensity workouts push us to our limits and the sweat pours, the importance of efficient recovery cannot be overstated. [more...]

Book4Time unveils enhanced day and resort pass functionality
Book4Time has announced the launch of Day & Resort Passes on its award-winning platform to help hotels and resorts drive staycation business. [more...]
+ More featured suppliers  
COMPANY PROFILES
Sommerhuber GmbH

Sommerhuber specialises in the manufacturing of heat-storing ceramics for spas. [more...]
+ More profiles  
CATALOGUE GALLERY
+ More catalogues  

DIRECTORY
+ More directory  
DIARY

 

22-22 Jun 2024

World Bathing Day

Worldwide,
22-24 Jun 2024

IECSC Las Vegas

Las Vegas Convention Center, Las Vegas, United States
+ More diary  
 


ADVERTISE . CONTACT US

Leisure Media
Tel: +44 (0)1462 431385

©Cybertrek 2024

ABOUT LEISURE MEDIA
LEISURE MEDIA MAGAZINES
LEISURE MEDIA HANDBOOKS
LEISURE MEDIA WEBSITES
LEISURE MEDIA PRODUCT SEARCH
PRINT SUBSCRIPTIONS
FREE DIGITAL SUBSCRIPTIONS