Warburg Pincus, along with SK D&D and its subsidiary D&D Investment, will be investing in South Korea’s senior housing market, marking the private equity behemoth’s first investment in the country’s living sector, according to an announcement on Monday.
The partnership marks Warburg Pincus Asia Real Estate Fund’s third venture in South Korea, following its collaborations with Wide Creek Asset Management to focus on new economy real estate; and QUBE, a joint venture with MQ Logistics targeting modern logistics warehouses.
The venture will focus on acquiring and developing senior housing in the Greater Seoul Area, starting with three high-quality projects at prime locations in Seoul.
The first project in Seoul’s prime Gangnam residential district will be a 12-storey, 10,000 square metre high-end assisted living facility set for construction in early 2026 and completed in 2028. The other two assets are operational and provide well-established infrastructure with convenient access to nearby hospitals and amenities.
“We have built a high conviction that the senior housing market in South Korea presents tremendous opportunities, fuelled by the shifting demographics and a growing ageing population,” said Takashi Murata, Managing Director and Co-Head of Asia Real Estate and Head of Japan at Warburg Pincus.
The executive highlighted that in 2024, South Korea officially became a super-aged society, with individuals aged 65 and above now making up 20% of the population, amidst a critical shortage in both the quantity and quality of senior housing options.
He also mentioned that the South Korean government has introduced proactive policies and measures in recent years to support the senior housing market, providing a strong tailwind to this emerging industry.
Warburg Pincus began investing in Asia real estate in 2005. Today, it has over $9 billion invested in more than 50 real estate platforms and ventures.
The firm has partnered with best-in-class local operators, building significant depth in this sector. Upon completion, its managed portfolio will encompass over 140,000 rooms across multiple platforms and ventures, according to the official statement.
