Unveiling First REIT 2.0: Our New Growth Strategy
14
Strategic Entry into the Attractive Japan Nursing Home Market
1
GROWING DEMAND DRIVEN BY AGEING POPULATION
Bir
An inadequate supply of high quality facilities to serve the huge growing demand driven by Japan's rapidly ageing population
will benefit existing nursing home owners
Inadequate Supply to Support Surge in Demand
Strong Fundamental Growth Drivers
One of the Most Rapidly Ageing
Countries in the World
By 2040 in Japan
35.3%
85yrs
Surge in Demand for Nursing Homes
Number of people Occupancy rate for
certified as requiring Fee-based nursing
long-term care
homes for Elderly
(Mar '08-'21)
87%
Proven to be High Quality and
Resilient throughout the Pandemic
Limited Impact from Covid-19 has Proven
Quality of Nursing Home Market in Japan
Percentage of Facilities that Did Not Experience
Revenue Decline During Covid-19(1)
of Population with
Age >65
Average Life
Span
1.5x
74%
2002
81%
2019
ā
Nursing Homes are Considered
Essential Services in Later Stages of Life
Accessible to all through Long-term Care
Insurance benefits regardless of income levels
No social stigma associated with sending elderly
parents to live in nursing homes
Expected 28% increase from 2020 to 2040 in the
number of elderly people living alone due to
shrinking household sizes
Inadequate Supply of Fee-based Nursing
Homes for Elderly
Labour shortage
Government restrictions on building more elder
care public facilities
Approx. 292k
(2019)
Elderly people on long waiting lists for placements
in Designated Facilities Covered by Public Aid
Providing Long-term Care to the Elderly
Source: Independent Market Research Report ("IMR")
(1)
Percentage of facilities with stable or increase revenue from April 2020 to March 2021 based on a questionnaire survey of 434 social welfare corporations operating special nursing homes
61%
51%
Revenue from
Residence
Revenue from
Short-term Stay
Revenue from
Day Service
FIRST REIT
ASIA'S PREMIER HEALTHCARE TRUSTView entire presentation