Dubai needs ad­di­tional 1,000 hos­pi­tal beds be­fore 2022

Khaleej Times - - THE BIG STORY - an­gel@khalee­j­times.com

Dubai would need at least 1,000 hos­pi­tal beds or seven new hos­pi­tals over the next five years to keep pace with the grow­ing pop­u­la­tion and meet the global stan­dards in the health­care sec­tor.

This was the point raised by Craig Plumb, head of re­search, Mena — JLL (Jones Lang LaSalle), at the Ci­tyscape Global 2017 at the Dubai World Trade Cen­tre re­cently.

JLL pub­lished a re­port, called ‘Healthy Re­turns’, high­light­ing the op­por­tu­ni­ties for in­vestors and other real es­tate play­ers in the health­care mar­ket across Mid­dle East and North Africa (Mena) over the next five years. Speak­ing to Khaleej Times, Plumb said: “At present Dubai has 2.1 hos­pi­tal beds for ev­ery 1,000 res­i­dents. This is way be­low the tar­get of achiev­ing the OECD (Or­gan­i­sa­tion for Eco­nomic Co-op­er­a­tion and De­vel­op­ment ) av­er­age of 4.8 beds per 1,000 peo­ple. (OECD is a group of high-in­come economies with a very high hman de­vel­op­ment in­dex and are re­garded as de­vel­oped coun­tries).

“With the cur­rent short­age of hos­pi­tals, clin­ics and other health­care fa­cil­i­ties, an age­ing pop­u­la­tion and the rise of med­i­cal tourism,

With the Expo 2020 com­ing up, buy­ing prop­erty towards more in-land ar­eas would be a good in­vest­ment for my fu­ture to re­volve around the city of to­mor­row. Dubai has al­ways had the habit of think­ing one step ahead and hav­ing spent most of my youth here, I’ve picked up on that trait as well. Dubai South is that plan for what comes af­ter Expo 2020 and I’d like to get into it now.

Shane Sa­ma­ranayake

The strong de­mand and cur­rent short­age of hos­pi­tals, clin­ics and other health­care fa­cil­i­ties makes this one of the most at­trac­tive sec­tors.”

Craig Plumb, head of re­search, Mena — JLL Real Es­tate Ser­vices

If my of­fice was 15 min­utes away from any of these ar­eas, then yes, I would cer­tainly con­sider mov­ing. I don’t en­joy driv­ing in Dubai, es­pe­cially dur­ing peak tim­ings, so stay­ing within close prox­im­ity to my work­place would be my ideal choice. With the new, af­ford­able prop­er­ties com­ing up in south Dubai, that might a pos­si­ble area of res­i­dence for many like me in the near fu­ture.

Rachel Lewis

there is a press­ing need for ad­di­tional health­care fa­cil­i­ties in the re­gion over the com­ing years.”

A marked short­age in hos­pi­tal beds is preva­lent in the re­gion. Ac­cord­ing to JLL, the Mena re­gion is lag­ging be­hind more de­vel­oped economies in terms of per capita spend­ing on health­care and pro­vi­sion of hos­pi­tal beds. The per capita spend­ing on health­care in the UAE is only 17 per cent of what is be­ing spent in Switzer­land, and Mena has an av­er­age of only 1.9 beds per 1,000 pop­u­la­tion in com­par­i­son to an OECD av­er­age of 4.8 beds.

“The re­gion has an age­ing pop­u­la­tion — the num­ber of peo­ple over 65 years is pre­dicted to in­crease by 4.4 per cent in the next five years. To main­tain the cur­rent pro­vi­sion rate of hos­pi­tal beds per per­son would re­quire 10,500 ad­di­tional hos­pi­tal beds in the five ma­jor cities across the re­gion over the next five years which equates to 70 ad­di­tional hos­pi­tals,” the re­port noted.

“The strong de­mand and cur­rent short­age of hos­pi­tals, clin­ics and other health­care fa­cil­i­ties makes this one of the most at­trac­tive sec­tors of the Mena real es­tate mar­ket for in­vestors, de­vel­op­ers and con­trac­tors to con­sider over the next five years,” he said. Ac­cord­ing to the re­port: “To in­crease the pro­vi­sion of hos­pi­tal beds in line with the cur­rent OECD av­er­age of 4.8 beds per one thou­sand peo­ple, a stag­ger­ing 470,000 ad­di­tional beds would be re­quired, which equates to 3,130 new hos­pi­tals.”

Plumb noted that re­turns from tra­di­tional sources such as res­i­den­tial, re­tail or hospitality are fall­ing and that op­por­tu­ni­ties from health­care real es­tate is more sta­ble and se­cure in the long run. “Real es­tate de­vel­op­ers can­not op­er­ate hos­pi­tals and sim­i­larly hos­pi­tals are not prop­erty de­vel­op­ers, but the two skill sets can be com­bined to ad­dress the grow­ing need in the health care in­dus­try.

The per capita spend­ing on health­care in the UAE is only 17 per cent of what is spent in Switzer­land.

Newspapers in English

Newspapers from UAE

© PressReader. All rights reserved.