In the traditional Chinese mindset, sending parents to senior nursing homes is against filial piety. Now, this attitude is changing, and as disposable income of households increases, more people are sending their parents to retirement homes, which are also becoming the destination of choice for many seniors.

According to a report published by the Chinese Academy of Social Sciences (CASS), in 2018 China's elderly population reached 240 million, accounting for more than 17 percent of the total population in 2017. China's National Working Committee on Aging estimates that about a third of China's population will be over 60 by 2050, with the cost of elderly care expected to make up 25 percent of the country's GDP, up significantly from seven percent last year.

More elderly people have happily chosen to spend their gray years in professional institutions rather than with their loved ones at home. Some high-end senior homes in Beijing are even operating at full capacity. 

The Hexihui Senior Home, nestled in Beijing's western mountains and run by state-owned company Poly Group, is a case in point.

"Our nursing home opened in 2012. In 2015, three years after its opening, it realized full occupancy. Senior people's mindset is changing. Many are now voluntarily seeking high-quality senior care institutions," said Wang Lili, deputy director of Health Industry Investment Company at Poly Group.

There are 260 residents, with an average age of 84, at Hexihui Senior Home, many of whom are still leading an active lifestyle. They barely need help in their daily life, but still prefer to live here, even if it costs more than hiring a senior sitter.

Some say hobbies and friends are extremely important for old people – here they can get both. Its proximity to colleges and research institutes has also been a draw to a lot of intellectuals and educated people.

Many real estate companies and insurance companies have entered this lucrative market in recent years. But Zhang Bin, vice chairman of Senior and Tourism Department at Association of China Real Estate Managers, believes that this industry is not for quick money.

"Compared to other real estate units, senior care homes see a long period of return on money. It's not a sector for a quick buck. But it's a quality asset that will bring long-term stable revenue to developers," Zhang said, adding that developers should be patient and more engaged in improving such services.

In 2017, Poly Group issued an "asset-backed security" product, which is similar to the Real Estate Investment Trusts (REITs) in the United States. The company's senior homes were packed into the security product, for the first time realizing a "closed loop" of capital in this sector.

The vice chairman suggested that additional government support and more mature capital management system, with finance tools like REITs included, will be key to the sector's further development.

"A good return in the long run will be expected. More government support should be in place to boost the sector," Zhang told CGTN.