Research Briefing | Apr 24, 2024

Demographics are set to propel niche property types in the UK

How we spend our time varies through our lives. As the UK population ages, time-use data suggest that the property sectors with structural tailwinds will be those that provide space for activities related to home entertainment, eating and drinking, socialising, events, leisure, hobbies, and sports/exercise.

What you will learn:

  • Growth in the digital economy threatens the demand for physical space across various sectors. Retail and offices face well-known challenges from e-commerce and home working, while generative artificial intelligence has the potential to further disrupt demand for offices and life sciences.
  • The interplay between the two megatrends of AI and demographics increases the importance of understanding the daily activities that people spend their time on, and require physical space to facilitate, whilst accounting for the effects of population ageing.
  • Our approach identifies the daily activities that will become more important over the next decade, and could help achieve benchmark outperformance over the long run.
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