As artificial intelligence reshapes how people live, work and stay connected, its impact is especially profound for ageing populations. Longer lifespans, better health outcomes and rapid advances in digital technology are redefining what later life looks like – and, critically, where and how people choose to live.
A new paper by M&G – Global Real Estate Outlook 2026: Real estate in the age of AI – Mapping tomorrow’s landscape – explores the shifts in lifestyles that are beginning to reshape housing demand across every life stage.
The first in the series looked at student living in the age of AI. The second looked at residential living and how AI influences people’s housing decisions. The final part of the series explores senior living, which is no longer driven solely by care needs but by lifestyle, autonomy and experience, creating a new set of opportunities and challenges for residential real estate in an AI-enabled world.
AI is transforming expectations around ageing, reshaping both the timing and nature of senior living demand. Advances in smart home technology, health monitoring, mobility solutions, and digital connectivity are extending independent living far beyond historical norms.
For many older adults, AI enables greater autonomy, reducing the need to downsize out of necessity. Technologies such as fall detection, autonomous transport, and virtual assistance allow seniors to remain in their homes longer, even in locations previously considered impractical. This trend is likely to intensify under-occupation in existing housing stock, increasing pressure elsewhere in the residential system.
However, extended independence does not eliminate demand for purpose-built senior living – it redefines it. Rather than prioritising proximity to healthcare or family, future senior living demand is expected to focus on experience, community and lifestyle.
Amenity-rich environments that support social connection, flexibility and wellbeing are becoming increasingly attractive.
At the same time, AI is enabling more mobile forms of later-life living. Some seniors may choose to divide their time across locations or embrace destination-based communities, staying connected through digital tools while prioritising culture, climate and experience.
This shift aligns with a broader move towards ‘destination living’, where residential choice is driven less by functional necessity and more by access to innovation, engagement and quality of life. In this context, senior living becomes not a retreat from activity, but an evolution of it.
For real estate stakeholders, the opportunity lies in recognising that senior living is no longer a single-use category. The most resilient models will be those that combine independence, technology and experience – meeting the expectations of a generation that is healthier, more mobile, and more choice-driven than any before it.
