Multifamily Fitness Facility ROI
When designing and building a new multifamily fitness facility, be sure to include plans for a fitness center or you might be leaving revenue, and potential community members, on the table. While amenities like event spaces, in-unit laundry, and pools have become big differentiators, an apartment gym or wellness space was reported as the most popular amenity and the one that provides the biggest return on investment.
When surveyed by Deloitte, a multinational business consulting firm, Millennials and Gen Z claim to value experiences and connections with others more than materials. Living spaces that promote shared experiences, like the amenities mentioned above, are stand-out incentives when trying to target renters in 2022. The National Apartment Association (NAA) did a survey which revealed that 5 of the top 10 amenities at the buildings that were surveyed all involved “common areas for socializing1. Furthermore, the website ConstructUtopia recently reported on survey data that suggests renters are willing to pay up to $40.83 more in rent to live in a building with a fitness center2.
Considering the interest in these types of amenities, it’s no surprise that 90% of high-end buildings erected in the past decade offer a fitness space (NJ Biz)3. Redfin reported that in 2022, for the first time ever, median monthly rent in the U.S. surpassed $2,0004. Providing wellness amenities helps to add value from a renter’s perspective. According to Apartment Advisor, these perks will also impact rent prices, by up to a 10% increase5, which means an on-site fitness center is beneficial for both the renter AND the apartment managers.
Design, Equipment and Guidance
Providing a quality fitness space requires time and intention to get the best return on investment. Incentivizing potential renters is one thing but providing enough value for retention is another. Careful design and equipment selection are critical, as well as designing for function and ever-changing trends. For example, functional exercise programming has been one of the leading forms of exercise for the past decade and is still growing in popularity among most demographics. Consulting with design experts can help to identify these demographics, understand what type of exercise equipment and exercise programming options they are most interested in, and how to build out your space effectively.
The location of a residential fitness facility must be inviting, easy to get to, and in a communal area. Storage and equipment placement should reflect a clean, well-kept, and cared-for facility. If your facility intends to offer group workouts, you’ll need sets of multiple pieces like kettlebells, sandbags, and suspension straps will be helpful. Flooring must be appropriate for the type of traffic and movement at your facility and should be easy to clean. Your facility design will reflect the satisfaction of your residents.
Lastly, you can’t just build it and wait for residents to show up. Providing workout guidance, whether through digital platforms or fitness instructors, may be a good idea. Promoting the fitness center and even having social events and group workouts is also important.
Provide The Right Experience
Ultimately, residents want a great experience, and a great experience is what will attract and retain renters. Providing the right fitness and wellness amenity is a huge part of that. The key takeaways when striving for the best gym design are:
- Design for experience – Build a facility that builds community, choose the right equipment for your residents, provide exercise guidance, encourage social events
- Functional fitness first – Choose equipment that supports functional movement
- Consult experts – You don’t have to guess, ask an expert!
Separate your residential community from the rest by providing the exceptional fitness experience renters are looking for! Contact Aktiv today to get started.
References:
- https://constructutopia.com/multifamily-survey-top-features-and-amenities-2022?source=UtopiaBlast&oly_enc_id=3092I7313967H7B
- https://www.naahq.org/adding-value-age-amenities-wars
- https://njbiz.com/fitness-amenities-9-10-new-apartment-buildings
- https://www.redfin.com/news/redfin-rental-report-may-2022/
- https://www.apartmentadvisor.com/guide/which-apartment-amenities-impact-rent-prices-most