Healthy Buildings Market Size, Share, Forecast, & Trends Analysis Offering (Solutions & Tools, Hardware, Services), End User (Residential, Commercial, Industrial, Municipal & Government), and Geography - Global Forecast to 2031

The Healthy Buildings Market was valued at $48.4 billion in 2023. This market is expected to reach $71.5 billion by 2031 from an estimated $51.0 billion in 2024, at a CAGR of 4.9% during the forecast period from 2024 to 2031.

Healthy Buildings Market Size & Forecast

The primary drivers of this market's growth include rising awareness of indoor air quality, wellness, and mental wellbeing, and rapid urbanization in emerging economies. However, the high implementation costs are anticipated to restrain its growth.

The increased emphasis on patient-centered design and innovative technologies in healthcare facilities, combined with an increase in demand from construction companies for green building certifications that focus on sustainability and health, are expected to generate growth opportunities for the players operating in this market.

On the other hand, integration with existing systems is a major challenge for market stakeholders. Moreover, the integration of IoT and AI in building management, the growing emphasis on green city initiatives, and the shift toward sustainable and smart buildings are prominent trends shaping the healthy buildings market.

Healthy Buildings Market Growth Driver

Growing Focus on Air Quality, Wellness, and Mental Wellbeing in Building Management

In recent years, increasing awareness of air quality, wellness, and mental wellbeing within buildings has become a top priority for both citizens and the construction industry. As concerns grow, the construction industry is increasingly adopting healthy building solutions to enhance ventilation systems and ensure superior indoor air quality. These solutions help minimize indoor contaminants and maintain optimal air conditions. Many providers are incorporating high-efficiency particulate air (HEPA) filters and UV light systems to eliminate airborne pathogens and allergens, contributing to cleaner air. Additionally, modern buildings are integrating plants, green walls, and natural materials into their designs, fostering environments that promote relaxation, focus, and overall well-being.

To address these concerns, numerous companies are introducing smart sensors designed to monitor indoor air quality and personalized controllers that manage the immediate environment, including temperature and lighting. These innovations enhance air quality and support wellness and mental health in buildings. For example, in February 2022, Honeywell International Inc. (U.S.) launched an Indoor Air Quality (IAQ) monitor that alerts building owners and operators to potential issues, enabling proactive measures to improve indoor air quality and reduce the risk of airborne contaminants. Such advancements are driving the increasing demand for healthy building solutions in recent years.

Healthy Buildings Market Opportunity

Construction Companies Increasingly Seeking Green Building Certifications for Sustainability and Building Health

Construction companies are increasingly pursuing green building certifications to enhance both the sustainability and health of their buildings. The rising adoption of healthy building solutions is driving demand for these certifications, which comply with rigorous energy efficiency standards, helping companies reduce carbon emissions and contribute to climate change mitigation. Certifications that focus on ventilation, air filtration, and the use of low-VOC materials play a critical role in improving indoor air quality and occupant well-being. Many construction firms are adopting green building certifications to prioritize the health and well-being of their customers. As a result, the growing demand for green building certifications is expected to further accelerate the adoption of healthy building solutions, enhancing air quality, water quality, and lighting in buildings.

Additionally, numerous governments are offering incentives for green building practices, including tax breaks, grants, and expedited permitting processes, which encourage construction companies to pursue certifications. These incentives not only reduce costs but also accelerate the adoption of sustainable building practices. Some of the widely recognized green building certifications include:

• LEED (Leadership in Energy and Environmental Design), issued by the U.S. Green Buildings Council, is a recognized sustainable building certification used for commercial, retail, new construction, and existing buildings.
• Energy Star, a green building certification offered by the Department of Energy and the Environmental Protection Agency. To obtain this certification, a building needs to be at least 15% more energy efficient than traditional properties.
• BREEAM (the Building Research Establishment Environmental Assessment Method) is an international program that recognizes sustainable buildings and infrastructure projects.

The growing availability and increasing use of green building certification in buildings will help increase the demand for healthy building solutions, hardware, and services in the coming years.

Healthy Buildings Market Analysis: Key Findings

The Solutions & Tools Segment to Dominate the Healthy Buildings Market in 2024

Based on offering, the healthy buildings market is segmented into solutions & tools, hardware, and services. In 2024, the solutions & tools segment is expected to account for the largest share of the healthy buildings market. This segment's large market share is driven by the increasing adoption of advanced HVAC systems and air purification technologies aimed at reducing pollutants and airborne pathogens to ensure clean indoor air. Additionally, the growing integration of smart climate control systems, which optimize temperature and humidity levels in buildings, contributes to this expansion. The rising use of health-focused lighting in commercial spaces also enhances employee mood and focus, resulting in improved productivity.

However, the services segment is expected to register a higher CAGR during the forecast period. This segment's growth is driven by the growing adoption of health-focused building services that monitor and regulate temperature and humidity to improve occupant comfort. Furthermore, the increased use of energy efficiency solutions is helping to lower operational costs, reduce environmental impact, and support sustainability objectives.

The Commercial Segment to Dominate the Healthy Buildings Market in 2024

Based on end user, the healthy buildings market is segmented into residential, commercial, industrial, and municipal & government. In 2024, the commercial segment is expected to account for the largest share of over 43.0% of the healthy buildings market. This segment's large market share is driven by the increasing adoption of healthy building solutions in commercial spaces aimed at improving overall health outcomes and promoting a healthier workforce. Additionally, there is a rising demand for patient-centered designs and technology solutions within healthcare facilities. The growing use of health-focused lighting in educational institutions further supports this trend, enhancing mood, concentration, and productivity among students.

Moreover, the commercial segment is expected to register a higher CAGR during the forecast period.

Geographical Analysis

North America to Dominate the Healthy Buildings Market in 2024

In 2024, North America is expected to account for the largest share of over 38.0% of the global healthy buildings market. North America's large market share is driven by the growing adoption of healthy building solutions by organizations seeking to create healthier work environments, boost productivity, and integrate IoT devices for monitoring air quality, occupancy, and energy usage to enhance building performance. Additionally, hospitals and clinics across the region are increasingly implementing healthy building practices to improve patient outcomes and support staff well-being.

However, Asia-Pacific is expected to register the highest CAGR of over 6.0% during the forecast period. This regional market’s growth is fueled by increasing investments from key players in green and sustainable building initiatives. Office spaces across Asia-Pacific are increasingly incorporating health-focused features, including natural lighting, air quality management systems, and wellness amenities.

Healthy Buildings Market: Key Companies

The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios, geographic presence, and key growth strategies adopted in the last three to four years. Some of the key players operating in the healthy buildings market are Honeywell Honeywell International Inc. (U.S.), DAIKIN Airconditioning (Singapore) Pte Ltd. (A Subsidiary of Daikin Industries, Ltd.) (Singapore), Johnson Controls International plc (Ireland), Schneider Electric SE (France), Siemens Corporation (Germany), Bosch Sicherheitssysteme GmbH (Germany), Delta Electronics, Inc. (Taiwan), Automated Logic Corporation (A Subsidiary of Carrier Global Corporation) (U.S.), Buildings IOT (U.S.), UL Solutions Inc.(U.S.), 9 Foundations, Inc. (U.S.), Allegion Plc. (Ireland), Kaiterra (Switzerland), and BuildingLogiX (U.S.).

Healthy Buildings Industry Overview: Latest Developments from Key Industry Players

• In August 2024, R-Zero Systems (U.S.) launched a RESET-certified indoor air quality (IAQ) monitor, accompanied by a connected dashboard that provides real-time visualization and actionable insights on IAQ data. These solutions are designed for use in offices, schools, and healthcare facilities, offering valuable information on how indoor environments impact occupant comfort and operational efficiency. The system also supports HVAC fault detection and energy usage optimization, enhancing overall building performance.
• In January 2023, Honeywell International Inc. (U.S.) launched its Healthy Building Services program, which aims to assist building owners and operators in monitoring and improving indoor environmental quality (IEQ). The program is designed to enhance overall building health and occupant well-being while helping organizations achieve industry recognition for their sustainability and health-focused initiatives.

Healthy Buildings Market Research Summary

Key questions answered in the healthy buildings market report: