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2018 RESEARCH REPORT Build Well to Live Well WELLNESS LIFESTYLE REAL ESTATE and COMMUNITIES

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2018 RESEARCH REPORT Build Well to Live Well WELLNESS LIFESTYLE REAL ESTATE and COMMUNITIES 2018 RESEARCH REPORT Build Well to Live Well WELLNESS LIFESTYLE REAL ESTATE AND COMMUNITIES WWW.GLOBALWELLNESSINSTITUTE.ORG Build Well to Live Well Wellness Lifestyle Real Estate and Communities JANUARY 2018 Copyright © 2017-2018 by the Global Wellness Institute Quotation of, citation from, and reference to any of the data, findings, and research methodology from this report must be credited to “Global Wellness Institute, Build Well to Live Well: Wellness Lifestyle Real Estate and Communities, January 2018.” For more information, please contact [email protected] or visit www.globalwellnessinstitute.org. CONTENTS Executive Summary iii I. Wellness Lifestyle Real Estate and 1 Communities: Why Now? II. What Is Unwell in the Places We Call Home? 5 III. From Wellness Lifestyle Real Estate to 19 Wellness Community IV. The Business Case 29 V. The Wellness Case 53 VI. Regional Trends & Pipeline Lists 65 Appendix A: Detailed examples of infrastructure, design elements, and 93 amenities in wellness lifestyle real estate and communities Appendix B: Wellness-related rating/certification systems and design 99 principles Appendix C: Methodology for home sales price premium estimates 103 Appendix D: Detailed examples of operational and financial models for 107 community wellness facilities and services Appendix E: Impact studies and reports by wellness real estate 113 developers and operators Appendix F: Resources for measuring wellness impacts 117 Bibliography and Resource Guide 123 Acknowledgements 139 Photo Credits 143 Industry Research Sponsors 145 ABOUT ABOUT THE GLOBAL WELLNESS INSTITUTE The Global Wellness Institute (GWI), a non-profit 501(c)(3), is considered the leading global research and educational resource for the global wellness economy and is known for introducing major industry initiatives and regional events that bring together leaders and visionaries to chart the future. GWI positively impacts global health and wellness by advocating for both public institutions and private businesses that are working to help prevent disease, reduce stress, and enhance overall quality of life. Its mission is to empower wellness worldwide. www.globalwellnessinstitute.org ABOUT THE AUTHORS Build Well to Live Well: Wellness Lifestyle Real Estate and Communities was prepared by Ophelia Yeung and Katherine Johnston, Senior Research Fellows at the Global Wellness Institute. Together, they have more than four decades of experience leading research and strategy development for businesses, universities, research institutions, and multilateral and government organizations under the auspices of SRI International, a Silicon Valley-based technology and innovation company. Since 2008, Yeung and Johnston have worked with the team at what has become the Global Wellness Institute to pioneer groundbreaking research on the global wellness economy and its subsectors. Build Well to Live Well: Wellness Lifestyle Real Estate and Communities Executive Summary JANUARY 2018 EXECUTIVE SUMMARY It is time to treat our homes as an investment in our wellness. Wellness is a $3.7 trillion industry and growing determine up to 80-90% of our health outcomes. faster than the global economy. The Global Wellness Since our homes are typically our most important Institute believes that residential real estate is the personal investment and expenditure, it is only next frontier that will be radically transformed by logical that they should also be an investment in the wellness movement. Our homes, communities, our health and wellbeing. and surrounding environment directly affect our daily behaviors and lifestyles, and together these The way our homes have been built in the last century is reinforcing lifestyles that make us sick, stressed, alienated, and unhappy. The last hundred years have brought great social isolation, and environmental degradation. advances in engineering, sanitation, building The global rise of many respiratory and chronic safety, and city planning. Science and technologies diseases has been traced directly to pollution. have enabled us to control infectious diseases and Our built environment favors driving over biking, bring ever greater levels of comfort, conveniences, sitting over walking, riding in elevators over using entertainment, and telecommunications into the stairs, texting over face-to-face conversations, our homes. Yet our modern living environment and screen time over outdoor recreation. Even as has also created new health risks – sedentary people live longer, more are living lonely, unhealthy, lifestyles, lack of physical activity, poor diet, stress, and unhappy lives. Movements that have tried to address these ills have laid the foundation for wellness lifestyle real estate and wellness communities. Wellness lifestyle real estate is a nascent industry the future of wellness real estate and communities, that recognizes, and has the potential to meet, we can expect smarter use of technologies and today’s immense health challenges. It represents innovations, new metrics to capture the Return a shift that explicitly puts people’s wellness at the on Wellness (ROW), and a deeper exploration center of the conception, design, creation, and of the relationships between physical and virtual redevelopment of our homes and neighborhoods. communities and between our individual/personal Importantly, this movement does not have to start wellness and community/planetary wellness. from scratch; it can borrow and learn from many historical/current movements and integrate their The purpose of this study is to establish a better best features through a multidimensional wellness understanding of what constitutes wellness lens. Many elements of the green/sustainable lifestyle real estate and wellness communities, their building movement, design-driven movements, potential impacts on our health and wellbeing, and the food movement, New Urbanism, intentional the compelling business case for investing in them. communities, and others, are already being It provides a guide, along with useful tools and adapted, mixed, and incorporated in innovative resources, for conceptualizing, planning, designing, ways into new and upcoming wellness-focused and building wellness lifestyle real estate in a residential projects and communities. As we look to holistic and intentional manner. Build Well to Live Well: Wellness Lifestyle Real Estate & Communities – January 2018 | iii Many Movements Have Paved the Way for the Future of Building Better Places to Live WELLNESS LIFESTYLE WELLNESS GETAWAYS POLICY & PLANNING FOOD MOVEMENT DESIGN MOVEMENTS TECHNOLOGY & REAL ESTATE & MOVEMENTS Started: Pre-1900s Started: 1970s Started: 1980s INNOVATION COMMUNITIES Tapping into natural, local, Started: Early-1900s Addressing land use, Designing buildings and Started: 1990s Started: 2000s and authentic traditions to Using public policy to agricultural practices, projects to address Using new technologies Putting human health build places that are address major social, and how/what we eat targeted needs and to enhance our living and wellbeing at the rejuvenating and healing. economic, and health through community populations. environments and create center of housing and issues that aect how design. VACATION & SECOND VASTU/FENG SHUI virtual communities. neighborhood design. HOMES and where we live. COMMUNITY GARDENS UNIVERSAL/INCLUSIVE MOBILE DEVICES SPA TOWNS DESIGN HOLISTIC PUBLIC HEALTH URBAN FARMS SOCIAL MEDIA DESTINATION SPAS TRANS/MULTI- PHYSICAL & VIRTUAL HEALTHY CITIES COMMUNITY-SPONSORED SENSORS HEALTH RESORTS AGRICULTURE GENERATIONAL DESIGN CONNECTION & COMMUNITY RESILIENT CITIES SMART HOMES FARMERS’ MARKETS BIOPHILIC DESIGN EVIDENCE-BASED SMART/DIGITAL CITIES ARTIFICIAL INTELLIGENCE LOCAL FOOD/SLOW FOOD ACTIVE DESIGN RETURN-ON-WELLNESS AFFORDABLE/SOCIAL AUGMENTED REALITY HOUSING FARM-TO-TABLE WELLTM/FITWELTM/ETC. MATERIALS SCIENCE AGRIHOODS INTENTIONAL PLANNED COMMUNITIES NEW-URBANISM GREEN/SUSTAINABLE COMMUNITIES Started: Early-1900s Started: 1980s BUILDING Started: Pre-1900s Consciously and intentionally Reinventing compact, Started: 1990s Building community around planning communities that traditional, walkable Building in a responsible, shared resources, interests, oer a better lifestyle and community design and sustainable, resource- and values to create a appeal to specific interests. placemaking for the ecient way to minimize holistic way of life. modern era. harm to the planet. CITY BEAUTIFUL UTOPIAN GARDEN CITIES PLACEMAKING ENVIRONMENTAL JUSTICE SOCIAL/POLITICAL NEW TOWNS MIXED-USE ENERGY STAR RELIGIOUS/SPIRITUAL TRANSIT-ORIENTED LEED/BREEAM/ETC. COMMUNES URBAN PLANNING MASTER-PLANNED COMMUNITIES SMART GROWTH REGENERATIVE/LIVING CO-HOUSING/CO-LIVING BUILDINGS GOLF COMMUNITIES TRADITIONAL NEIGHBORHOOD DESIGN ECOVILLAGES/ECO-CITIES RETIREMENT COMMUNITIES FORM-BASED CODES PRE- 1900 1900 1970 1980 1990 2000 2050 iv | Global Wellness Institute Source: Global Wellness Institute Many Movements Have Paved the Way for the Future of Building Better Places to Live WELLNESS LIFESTYLE WELLNESS GETAWAYS POLICY & PLANNING FOOD MOVEMENT DESIGN MOVEMENTS TECHNOLOGY & REAL ESTATE & MOVEMENTS Started: Pre-1900s Started: 1970s Started: 1980s INNOVATION COMMUNITIES Tapping into natural, local, Started: Early-1900s Addressing land use, Designing buildings and Started: 1990s Started: 2000s and authentic traditions to Using public policy to agricultural practices, projects to address Using new technologies Putting human health build places that are address major social, and how/what
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