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Access to health and fitness amenities ranks #1 or #2 on virtually ALL tenant surveys! (M. Budd & Associates, 2007)
Many developers understand the demand for health and fitness services, but end up intalling "token" facilities that end up as nothing more than an afterthought and are rarely used. Many developers essentially, write off the space and financial cost as a marketing expense to attract potential tenants.
This short-sighted approach only considers tenant attraction and ends up COSTING MORE MONEY in the long run.
Tenant attraction is only one factor in the equation, and it's common knowledge that retaining tenants is much easier, cheaper, and more valuable than constantly searching for and attracting new prospects.
A phrase heard all too often by developers is "I can't allocate extra money to a fitness facility because so few tenants use them". This "catch-22" situation is created because of the approach taken by most developers AND fitness equipment companies.
Under the traditional model, machines are purchased for a facility area. Because developers want to keep costs down and machines are expensive, the cheapest possible models are chosen (often models barely suitable for home use).
Machines take up large amounts of space and developers much watch their cost per square foot. Therefore, the room dedicated to health and fitness is generally very small.
The end results can be seen in the large majority of corporate, condo and hotel fitness centres. Tenants attempt to use this fitness centre and realize that the poor quality equipment and small space provides few options and makes regular exercise an added chore. Consequently, the money and space dedicated to these fitness facilities goes completely to waste!
This scenario can be competely avoided with the right information and guidance.
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