Fitness Center Feasibility Study in the Spokane-Spokane Valley, WA Metro Area

Fitness centers in the Spokane area

In the Spokane-Spokane Valley, WA area, fitness centers come third of 39 classes, and nationally the area ranks 73 of 608 for them. Between FY2017 and FY2026 the record gathers 29 loans and $13.8 million. The location quotient, 1.12x, puts gyms and studios modestly above their national weight in local approvals, whereas a median loan of $200,000 stands at 0.77x the class's median nationally, which makes the area's projects smaller than the usual one elsewhere.

Loan range, brands and holders

Between $92,000 and $450,000 lies the central half of the loans. A franchise brand is attached to 41.4% of them. Spokane County, WA holds all 29. SBA 7(a) holders that print are Washington Trust Bank and Glacier Bank, 5 loans each; the first adds up to $1.0 million and the second to $483,200. Program mix is held back.

FY2018 shows 5 loans and $1.1 million. FY2021 shows 0 loans and $0: nothing was approved that year. Years not shown were left out for small counts, and a left-out year should not be read as an empty one. No cancellation or charge-off figure is offered: Loan Analytics will not publish a rate resting on fewer than 30 loans.

Testing a gym or studio in this market

The first test is membership: how many households and workers sit within an easy trip of the site, what they pay now, and how many a new facility must win before it breaks even. A study should model the ramp from opening to a mature roster, since fitness revenue builds slowly and churn is high in the first year. It should weigh fit-out and equipment cost against a typical loan of $200,000, show whether equipment is financed separately or inside the loan, and prove that membership short of capacity still covers the payment. With franchise brands attached to 41.4% of loans, any brand's fees belong in the budget. For Spokane, the July 2023 list decides membership, using the county in which the financed site lies. Equipment is often the largest single cost and loses value fast, so the study should show its age, financing and replacement schedule, together with the lease term on the space, because both bear on how a lender sees collateral.