Cavendish Maxwell Identifies Student and Senior Living as Key Drivers for GCC Real Estate Growth
According to real estate advisory Cavendish Maxwell, purpose-built student accommodation and senior living facilities are poised to become significant investment opportunities and shape the GCC's property market over the
Leading real estate advisory Cavendish Maxwell forecasts that student accommodation and senior living will be pivotal in redefining the GCC's real estate landscape over the coming decade. These sectors, alongside other professionally managed residential concepts such as co-living, serviced living, and private clubs, are highlighted as the region’s most promising future investment opportunities.
Shifting Market Focus
For the past ten years, the GCC's residential and hospitality sectors have been largely dominated by luxury developments, including branded residences and five-star hotels. However, the next decade is expected to see a fundamental shift towards more diverse co-living concepts, driven by changing demographics and evolving resident expectations. According to Zacky Sajjad, Director of Business Development and Client Relations at Cavendish Maxwell, governments across the region are actively seeking to attract international talent, boost tourism, expand university offerings, and diversify their economies.
"The next 10 years are likely to see a shift towards co-living across several concepts, with market fundamentals underscoring the demand."
As populations grow and become more internationally diverse, residents are increasingly prioritising convenience, flexibility, community, and integrated services over traditional housing. This necessitates a rethinking for developers and investors, moving beyond the binary choice of residential or hospitality to understand specific user needs and preferences.
Untapped Potential in Alternative Living
While branded residences will remain important, the market is broadening. Cavendish Maxwell points to the expanding higher education sector in the UAE, which aims to attract more international students, creating a logical demand for professionally managed student accommodation that offers security, amenities, technology, and study facilities. Similarly, the concept of senior living presents a significant opportunity, moving away from traditional retirement homes towards integrated models combining independent living, hospitality, wellness, healthcare, and community. The UAE's appeal for internationally mobile retirees, seeking high quality of life, safety, and access to healthcare, underpins this potential.
Co-living also offers a solution to affordability challenges, particularly in cities like Dubai where residential rents have seen sharp increases. A professionally managed co-living model can provide flexible and accessible entry points for young professionals, offering purpose-designed communal areas, services, and a sense of community that traditional house-sharing often lacks. These alternative living concepts are seen not as direct imports but as opportunities for the GCC to develop its own versions, using the region's strength in hospitality to create a new generation of hybrid living solutions.
Questions, answered
- What new real estate sectors does Cavendish Maxwell identify as future growth drivers in the GCC?
- Cavendish Maxwell highlights **purpose-built student accommodation** and **senior living facilities** as key sectors, alongside concepts like serviced living, co-living, and private clubs, that will shape the GCC's real estate market over the next decade.
- Why are student accommodation and senior living becoming more important in the GCC?
- These sectors are gaining importance due to governments' goals to attract international talent and students, expand universities, and diversify economies. Also, populations are growing and becoming more diverse, with residents seeking convenience, flexibility, and community in their living arrangements.
- How is the GCC's real estate market shifting from its previous focus?
- Previously dominated by luxury developments, including branded residences and five-star hotels, the market is now expected to shift towards more diverse **co-living concepts** and professionally managed residential developments, driven by changing demographics and evolving resident expectations for services and experiences.
- What makes the UAE an attractive location for senior living concepts?
- The UAE is appealing for internationally mobile retirees due to its high quality of life, safety, global connectivity, year-round sunshine, and access to high-quality healthcare and hospitality-led services, presenting an opportunity to create integrated senior living models.
- What is the opportunity for co-living in cities like Dubai?
- Co-living in Dubai can offer a more flexible and accessible entry point for residents, particularly young professionals, providing professionally managed spaces with purpose-designed communal areas, services, amenities, and a genuine sense of community, addressing rising rental costs.
This brief was summarised and rewritten by Gaia Living from public reporting. Figures and details reflect the original sources.
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