- Korian, the European care services group, expands its co-living concept to Germany
- European Investment Bank backs the investment with a €150 million loan
- Korian plans to open first co-living home in 2024, offering affordable care
The European Investment Bank (EIB) is supporting the expansion of Korian, the European care services group for elderly and fragile people, with a loan of €150 million to finance the expansion of its co-living homes concept in Germany. Korian already runs 242 co-living homes in rural communities in France under the brand Ages&Vie, which the EIB co-financed in 2020 and 2021 to the tune of €135 million. Korian, which is already present in Germany, is now planning to extend this concept to the local market, by developing affordable community homes adapted to the German social system.
In France, through its Ages&Vie brand, Korian offers co-living solutions in small homes for eight people in the centre of small towns and villages, with live-in care persons. Beginning with 44 houses in the Bourgogne-Franche-Comté region in 2018, Ages&Vie now offers elderly care in 242 houses in ten regions across France. On average, the occupancy rate is above 95%[1].
Germany is facing even greater demographic pressure than France, lacking sufficient infrastructure to meet the increasing need for solutions to remain at home while benefiting from assistance in day-to-day living. The number of people aged over 65 in Germany is expected to rise by 18% up to 2030. The vast majority of the elderly population shows a preference for living at home in old age.
Korian plans to open co-living homes first in Bavaria and North Rhine-Westphalia, with the first facility expected to open in 2024.
In Germany, each residence will consist of two modules comprising 12 units. Each tenant will have a private room with a bathroom. The common areas will include amenities like a shared kitchen, a dining table and leisure areas. The construction will have a standard design, and each place will have large outdoor leisure areas.
The project aims to deliver affordable solutions for elderly people with a low dependency level, filling the gap between independent living and nursing care. Korian already operates nursing homes in France, Germany, Belgium, Italy, Spain, the Netherlands and the United Kingdom.
EIB Vice-President Ambroise Fayolle, who is responsible for activities in Germany, says: “The EIB is proud to address demographic challenges together with Korian in several EU Member States. In most EU countries, elderly people and their relatives are desperately seeking affordable care facilities that can become home for these older people, which is often difficult, especially in rural areas. Korian’s solution has proven reliable, supporting older people’s well-being.”
“We are delighted to receive the continued support and confidence of the EIB as we expand our co-living home care solutions across Europe. The Bank’s support is important as it shows the relevance of these solutions for Europe as it faces a decade of huge change in demographic terms,” said Sophie Boissard, Chief Executive Officer of Korian. “We are committed to continuing to innovate to provide tailored solutions across Europe to support people who choose to live at home in old age.”
Korian is the leading European care services group for elderly and fragile people, with a network of 1 143 facilities across seven countries (France, Germany, Belgium, Italy, Spain, the Netherlands and the United Kingdom) serving 700 local communities. In 2021, the Group’s revenue amounted to €4 311 million. Korian is a European company, listed on Euronext’s Paris Section A since November 2006.
[1] Excluding houses under ramp-up