By Trevor Damyan, Commercial Mortgage Broker at Commercial Lending Solutions
Fitness center, health club, and gym financing is one of the more active SBA-driven owner-user CRE niches in the country. The asset class spans large multi-purpose health clubs (Equinox, Lifetime, 24 Hour Fitness type properties), mid-size franchise gyms (Anytime Fitness, Planet Fitness, Snap Fitness), boutique fitness studios (yoga, pilates, barre, spin, CrossFit, Orangetheory, Pure Barre), and independent gym operators. The lender ecosystem is dominated by SBA 504 and 7(a), specialty health club banks, conventional bank balance sheet for established operators, and equipment financing for gym equipment.
Get a Fitness / Gym Quote →Fitness center financing operates primarily through SBA 504 and 7(a). Specialty fitness lenders (Live Oak Bank dominantly, plus several regional banks) offer SBA-wrapped and conventional execution. Equipment financing handles gym equipment, cardio machines, weights, and FF&E.
Pricing is indicative and reflects active CLS CRE quote pipeline as of April 2026. Actual pricing depends on property condition, sponsor profile, deal size, and market dynamics.
Single-unit franchise gym acquisitions (Anytime Fitness, Planet Fitness, Snap Fitness) typically run $500K to $2M. Boutique studio acquisitions (yoga, CrossFit, spin) run $250K to $1.5M. Mid-size health club acquisitions run $1.5M to $5M. Large multi-purpose health clubs (Lifetime, Equinox, 24 Hour Fitness type) run $5M to $25M+. Multi-unit franchisee territories and brand consolidation run $5M to $50M+.
Sponsor profiles span first-time franchisee owner-operators (often executives transitioning to entrepreneurship), multi-unit franchisees with 5 to 50+ locations, and institutional consolidators of franchise gym networks. Industry experience matters but is less specialized than other operating businesses.
Operating revenue is dominated by membership fees with secondary income from personal training, retail (apparel, supplements), and ancillary services. Member retention and acquisition cost (CAC) are core metrics. Member churn typically runs 4 to 8 percent monthly across the industry.
Fitness center underwriting is operating-business intensive. Lenders evaluate the property, the operating business, brand strength (for franchises), and management capability.
Fitness center transactions have specific failure modes around membership churn, equipment costs, and concept obsolescence.
On a $1.2M acquisition of a Planet Fitness franchise in a suburban Midwest market, the buyer was a first-time franchisee with 12 years of corporate management experience and a strong personal balance sheet. The deal allocated $700K to real estate (an 8,500 square foot facility leased on a 15-year ground lease), $300K to equipment (cardio, strength, locker room build-out), $150K to franchise fees, and $50K to working capital. SBA 504 financed the leasehold build-out and equipment as the franchise was a leased model rather than owned real estate. SBA 7(a) financed equipment, franchise fees, and working capital at $500K. The deal closed in 75 days. Year-one membership reached 2,800 members at month 14, slightly above pro forma.
All deal references anonymize borrower and lender identities and use city-level geography only.
Fitness centers are one of the more active SBA niches but also one with higher operating volatility. The financing exists, the franchise programs streamline execution, and operators with management experience can succeed. The underlying business is durable but requires constant member acquisition.
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