The Gym Real Estate Company

When you start to understand that yes, you sell fitness - but that your limitations to how much revenue you can generate is largely influenced by your physical space and square footage - that's a real lightbulb moment for many gym owners. Sure, you can always raise prices, but there is a limit to that too. All these factors play into each other and ultimately speak to your gym's Operational Capacity. OpCap is simply the efficiency, or lack thereof, of your square footage. The airlines definitely understand it. So why don't more gym owners consider and calculate RPSF (Revenue Per Square Foot)? You're investing in a site that has a direct cost per square foot, so wouldn't it make sense to understand what your ROI is within the same measurement? If you're a gym owner who needs help leasing or buying a building, please send us a DM or head over to www.gymrealestate.co to book a Discovery Call.

We like to believe that your general contractor truly has the best intentions, but his scope of work is so complicated and human-driven, that there are bound to be errors. Those errors are going to cost you time and money. When advising our clients, we recommend that they have at least an additional 30% of the total construction budget set aside for overruns. This will ensure that they don't get into a tough situation where they have to sacrifice key aspects of their design plan to simply fit it into the budget after another aspect goes way over budget. Always make sure that your GC provides your written guidelines for Change Orders. These are the changes to your construction plan that happen due to changes of your own making or due to supply/logistic issues. These change orders should be documented and clearly explains who is liable for paying for them. As always, if you have a CRE project that you'd like help with - please shoot us a DM!

Onward Physical Therapy @onwardphysicaltherapy is certainly not a new kid on the block. Their nationwide license model has provided high-performing physical therapists the opportunity to create their own cash-based clinic for years. On a recent project with the Charlotte, NC portfolio, we were honored to help them secure a synergistic location within QC Fit West @qcfit_west and add to an already impressive roster of fitness and wellness tenants. It's so damn impressive to see how efficient and cashflow positive this crew can be with only 900 SF. If you're a gym owner, who wants help in leasing or buying a building — send us a DM or head over to www.gymrealestate.co to book a Discovery Call so we can learn more about your project.

The team over at Alpha Fit Club @alphafitcliub is back at it. After owning the New Jersey market for a decade, they have decided to push into adjacent markets with Westchester Co., NY in the crosshairs — and we're honored to be partnered with them to execute on their vision. These locations are the epitome of efficient operational capacity and every square foot is accounted for to ensure their franchisees are set up for success. Excited to see more AFCs across the Northeast! If you're a gym owner, who wants help in leasing or buying a building - send us a DM or head over to www.gymrealestate.co to book a Discovery Call so we can learn more about your project.

Should you use rowers or bikes in your group class model, and it's impact on your operational capacity is not a topic that a typical commercial real estate broker will be able to provide advice. This is where we've found our niche, in understanding the brick & mortar fitness business (because we've owned gyms ourselves!). We provide a suite of services beyond what your local broker is capable or able to offer, all at no cost to you. Are you a gym owner who needs help leasing or buying a building? Send us a DM or head over to www.gymrealestate.co to book a Discovery Call so we can learn more about your CRE project.

Anotha' One! Industrious @workhardlivefit continues to expand their franchise system with a new location coming to The Natty! Cincinnati, OH has undergone a ton of revitalization recently, especially in the OTR (Over The Rhine) district and elsewhere. We are excited to see the Industrious brand secure their first foothold in the Buckeye state. If you're a gym owner, who wants help in leasing or buying a building — send us a DM or head over to www.gymrealestate.co to book a Discovery Call so we can learn more about your project.

Operational Capacity is simply the efficiencies or inefficiencies of your square footage. It's how you lay out the facility. The flow of the group class in open space. The type of equipment you use and the ensuing space they consume. The revenue you generate per square foot. The ARCP (average revenue per person per class). It's all these things and more. Need help improving your OpCap for a new location? Send us a DM or head over to www.gymrealestate.co to book a Discovery Call.

Efficiency of square footage is an art form that we pride ourselves on when helping clients evaluate their operational capacity. However, when working with Onward Physical Therapy @onwardclt, they didn't need much of our help as they have this mastered. Finding 1,000 SF or less is not an easy feat, as most listing agents refuse to rep these sites due to the low payout for them. Luckily, we were able to negotiate a great lease agreement between the impressive facility that is home to QC Fit @qcfit_west in which both parties won. If you're a gym owner, who wants help in leasing or buying a building — send us a DM or head over to www.gymrealestate.co to book a Discovery Call so we can learn more about your project.

If you want to buy a building, you need to understand DSCR. Debt Service Coverage Ratio. DSCR measures a company's cashflow in relation to it's ability to pay back debt obligation. In other words, if the bank lends you money to buy a building, will you generate enough cash to pay back the loan? Histoircally, banks seek a 1.2 DSCR. This means that for every $100,000 you borrow, they want to see that you can generate 1.2x that amount ($120,000). If you can't meet the DSCR, you're likely not getting that bank loan. Confusing? We get it. Let us help you with your lease or purchase process. Send us a DM or head over to www.gymrealestate.co to book a Discovery Call.

The greater Richmond, VA market is getting a significant upgrade to its fitness scene with the upcoming arrival of the 2nd location for Iron Built Gym @ironbuiltgym A 24/7, open gym model with strong roots in the powerlifting scene, this brand's expansion is spearheaded by multi-gym owner, Ken Stewart @kenbstrong. We're excited to be partnered with Iron Built Gym and even more excited to see Ken's vision come to life. If you're a gym owner, who wants help in leasing or buying a building — send us a DM or head over to www.gymrealestate.co to book a Discovery Call so we can learn more about your project.