Scott Muldavin, Chair of the Counselors of Real Estate, Senior Advisor to Delos® and founder of the WELL Building Standard®, shares his insight on the wellness industry ahead of MIPIM.
How is the Real Estate Industry impacted by the new wellness paradigm?
With healthcare spending averaging 10% of GDP in Western Europe and 17% in the United States, healthcare has become a critical economic engine of most regions. The aging of the population, continued health cost pressure, technology advances, talent shortages, and improved company and consumer demand for health services has helped fuel the rapid rise of the wellness industry, projected to grow to $1.9 trillion/yr. These trends are critical to predicting regional real estate success, and are redefining the type and nature of health care facilities, including the critical role all buildings and communities can play in promoting health and wellness.
Is Wellness in real estate producing new forms of collaboration? (citizen foundations/NGO)?
Health and wellness has emerged rapidly as a key topic of interest and collaboration for many real estate professional groups including the Urban Land Institute, CoreNet Global, BOMA International, GRESB, and many others. Real estate developers, investors and service providers now regularly collaborate with public health and medical groups on new healthy buildings/communities research and standards. The international WELL Building Institute, which administers the WELL Building Standard, is closely aligned with BREEAM, USGBC, and sustainability and business organizations globally. Locally, many organizations have formed to promote healthy food, activities, and buildings—often in collaboration with medical groups and municipalities.
Who are the new players in this new deal?
This healthy building movement brings together leaders in real estate, building and medical science, human resources, design and sustainability, finance and technology to address the intersection between health and the built environment. A healthy building has the opportunity to provide invaluable return on investment by increasing the demand from companies seeking to retain top talent or increase employee productivity and satisfaction; individuals seeking a place to live that improves their health and wellbeing, or companies hoping to encourage customer loyalty. Accordingly, the new players in this deal should be all real estate participants interested in building better places and meeting their customers’ demands.
Don’t miss Scott’s panel session at MIPIM this March, FROM SICK CARE TO WELL CARE: HOW DOES RETHINKING THE HEALTHCARE INDUSTRY IMPACT THE RE INDUSTRY ?