Parkway Life REIT is looking at the local nursing home market after it ventured into properties that offer long-term care services for the elderly in Japan.
“We are looking to explore opportunities to collaborate with credible nursing care operators locally and regionally, as well as to expand the availability of quality nursing homes in Singapore to cater to people with different needs,” said Yong Yean Chau, chief executive of Parkway Trust Management, the REIT’s manager.
Mr. Yong said Singapore has a fast ageing population that will push demand for nursing home places in the long term. “In Singapore, about 9 percent of the population is currently aged 65 and above – the highest in South-east Asia,” he said.
“The growing prevalence of nuclear families in modern societies also means fewer people will be available to take care of the needs of the elderly in future.”
“Nursing homes are increasingly becoming good alternatives for people to enjoy care, shelter and companionship outside of the family in their old age,” he added.
Aside from the need to increase capacity, Mr. Yong said there is a chance for greater market sophistication and segmentation in the local nursing home sector.
“With more product offerings, coupled with public education, we believe the perception and acceptance of nursing homes in Singapore will improve over time,” he said.
“Parkway Life Reit is keen to share its experiences and is at the preliminary stages of exploring the feasibility of collaborating with various stakeholders.”
Through several acquisitions in the previous two and a half years, Parkway Life Reit now owns 29 properties in Japan, 28 of which are nursing homes and care facilities. In Singapore, its assets include Gleneagles, Mount Elizabeth and Parkway East hospitals.