4xi Market Research Report_Senior Living 2021 by hspearman6

INTRODUCTION

his 4xi Global Consulting and Solutions Market Research Report focuses on the U.S. Senior Living for foodservice operators. With an increasingly aging population, and the low penetration level of contracted services in the Senior Living market, the level of attention on this sector has significantly increased in recent years. From investment opportunities, construction of new facilities, management companies, facilities management, to food service providers, the need for greater data, information, insights, and understanding of the market is clear. The purpose of this report is to provide a high-level overview of the market, its sub-sectors, market size, major players, and operators of food service and the opportunities that exist in this sector today, and into the future.

KEY TAKEAWAYS: $

430B+ $

8B+

2M+ 16K+ 2X >30%

Estimated total market size, 2021 (including real estate assets)

Food service sector opportunity

Total number of beds (top 100 metro markets) Senior living facilities in the (top 100 metro markets) Citizens aged 65+ is set to double over the next 40 years from 50 million to almost 100 million Estimated current food service contracted penetration rate (top 100 metro markets)

This report will provide the insights for you to make strategic decisions on how your business is positioned to pursue opportunities within this space. Please let us know if we can be of further assistance as you explore the opportunity to optimize your current strengths and penetration, or for guidance of best practices and how to approach venturing into this market to expand your business. We look forward to your feedback, and the opportunity of exploring the future, together.

Simon Elliot

Managing Partner 4xi Global Consulting & Solutions

Katrina Miner

Strategic Marketing Consultant 4xi Global Consulting & Solutions

he fact of the matter is that we are getting healthier. Healthier lifestyles, better access to healthcare, quality of medicine, technological advancement, treatments, and care has resulted in people living longer, happier, and healthier lives. The rise in the 65+ population is due to increased life expectancy and is expected to grow rapidly in the decades to come. According to National Institute on Aging (NIA), globally, around 8.5% of the population is aged sixty-five and above. According to data published by Population Reference Bureau, the number of Americans aged 65 years & above is projected to rise from around 52 million today to 95 million by 2060, almost doubling the 65+ age group. By percentage, the age group of 65 years and above in the United States is expected to increase from 16% in 2018 to 23% by 2060. According to data published by Aging.com, two million housing facilities will be needed for senior residents for adequate living space by 2040. Source: Grand View Research.

95M 90M 85M 80M 72M 68M 60M 55M 52M

2020 2025 2030 2035 2040 2045 2050 2055 2060

BACKGROUND

Figure 2.

AN AGING POPULATION The poA pulation of the 65+ population is set to almost double in the n

ccording to the 2020 U.S. Census, the aging population is most notable in the West, 40 yeaSouthwest rs, repreand senintithe ng South, a significant mThe arkepopulation t opportuof nitthe y in65+ cluding and is set to almost provideprimarily rs sucFlorida h as fo odtoseardegree vice operatopopulation rs. in the Carolinas. One other area double in the next 40 years, of growth is in the Northeast, representing a significant primarily in Pennsylvania, followed by New Jersey, and New York. market opportunity including

for providers such as food service operators.

for

HISTORY

et’s take a quick look at the history of Senior Living and aged care. As far back as 44 BC, Cicero wrote the first known text on aging, and in 1025, an Arabic text known as the Canon of Medicine addressed the health issues and necessary medical care centered around aging. Throughout the ages, different programs and political measures were enacted to support aging population.

In the United States, one of the earliest documented care facilities was developed in Philadelphia by the Quakers, The Friends’ Almshouse of Philadelphia. By the mid1800s other religious groups founded similar facilities for aging widows in reaction to the conditions in the nation’s poorhouses and by the end of the civil war, pensions were established for retired soldiers and their families.

By 1909 aging was recognized as Through the Moss Amendments in a social issue, separate from illness 1968, which brought federal regulation and with a focus on poverty. In 1935 to the industry, the development the Social Security Act was passed in of nursing home chains increased, response to the making way for the “Taking care of our seniors is Great Depression first hospice care a more important task than that saw half of all facility in 1974 and ever before. The demographic seniors living in the first nationally is growing, and they are more extreme poverty. recognized Assisted financially independent than ever Living facility in before, and more discerning.” In 1950, what we 1981. By 2011 the think of today as first of the Baby the private Nursing Home industry Boomer generation began to retire was born and doubled in size by 1965 and it is estimated that by 2030, when Medicaid and Medicare were 10,000 people per day will be signed into law. turning sixty-five. 4xi GLOBAL CONSULTING & SOLUTIONS. ©2021 ALL RIGHTS RESERVED