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Retail centers drive fitness growth: Report

October 10, 2019

Fitness tenants are healthy for retail centers, and retail centers are healthy for fitness tenants, concludes a new report from JLL.

The number of fitness centers grew by 24 percent between 2010 and 2019, to roughly 111,000, and expectations are that they will increase 9 percent further by 2024, according to the report, titled Fitness invigorates shopping centers. Many of these are opening in retail centers, says JLL, which reports a steady shift from freestanding locations to neighborhood centers and malls.

“We are living in a golden era for wellness, where there is an unprecedented awareness of — and demand for — a healthy, balanced lifestyle,” the report reads. Total fitness-center revenues now stand at some $36.5 billion, with growth averaging 3.5 percent yearly.

Boutique-studio memberships have shot up by 70 percent over the past four years

Especially popular are boutique-studio memberships, which have shot up by 70 percent within the past four years, versus a 5 percent growth rate in traditional gym memberships. Boutique studios, which typically offer a single activity, such as stationary biking, made up roughly 42 percent of U.S. fitness clubs in 2015, double the number from 2014. Those are now growing at about six times the rate of regular gyms, according to JLL.

Neighborhood centers that cater to consumers’ daily needs through supermarkets and other essential retailers are “a magnet” for fitness centers, according to the report. And while malls have in the past attracted only a few such tenants, this is changing fast, JLL says, “as landlords continue to add experiential elements to centers to draw consumers.”

By Edmund Mander

Director, Editor-In-Chief/SCT

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