Multifamily Housing Trends: The Future of Fitness Centers

What is the outlook for multifamily in 2024? Read through our guide to gain a better understanding of how emerging multifamily housing trends can determine whether a tenant chooses a unit in your building — or someone else's.

Overview of the Multifamily Housing Market

What are the trends in multifamily housing design? In general, experts assume the multifamily housing market will continue to grow, but this growth will slow down slightly in upcoming years. Several factors could influence this shift.

For example, many people in the millennial generation will leave apartments and look for single-family homes as they raise young families, while college students move into the empty flats they left behind. Similarly, older adults who wish to downsize may also look for places to rent with high-quality amenities and luxury offerings they can't access in a single-family home.

Overall, we can expect to see these trends in multifamily units:

• The square footage of apartment units will be slightly smaller than before. Some, especially in major cities, will be remodeled corporate spaces and converted office buildings.
• Due to the rise of remote work, living spaces will be multifunctional. They'll be designed for work, socialization, and fitness.
• Property managers may find that tenants simply want more than before. Better access to amenities — especially those that provide relaxation or socialization — is a new competition zone for attracting potential tenants.

When people see the economy as unstable, they make fewer risky choices. This could mean someone is less likely to take a chance on renting a new unit unless they're sure it's a good move. You can help them see that your property is a solid choice by providing the quality of life they seek in the modern multifamily unit: affordability, technological capabilities, and sustainability features.

The Rise of Fitness Centers in Multifamily Properties

Decades ago, a resident might have viewed a pool, a small gym, or a laundry room as a luxury — something to sell them on renting a unit, but not something that was included as obvious. Nowadays, many people won't rent without certain amenities once seen as luxury perks.

Communal spaces, fitness centers, and health-forward practices are taken for granted. Many potential tenants, for example, won't consider renting a new apartment in a building without a fitness center.

Evolution of Fitness Amenities in Real Estate

Fitness centers aren't one-size-fits-all, and they've changed to reflect the times over the years. It's important to pay attention to trends in fitness amenities, as your residents are comparing your property to the last one they toured.

For example, twenty years ago the new "it" workout may have been pilates or hot yoga. Now, your residents might be looking for pickleball or virtual fitness courses as a quality-of-life measure.

Residents gravitate toward brand names they recognize, too. It's not enough anymore to just put a few treadmills in a multifamily building's basement and call it a workout facility. Potential tenants may inspect your building's equipment for names such as Stairmaster, and they may inquire about virtual fitness classes by Les Mills and POPSUGAR.

Impact on Property Appeal and Occupancy Rates

Gym and virtual fitness classes can increase your return on investment by making your property more competitive. Fitness centers and virtual class subscriptions can provide the following benefits for your property:

• Bring in tenants who are health-conscious and oriented toward wellness
• Be the deciding factor for the tenant selecting between two properties
• Foster a sense of community within the building, which may attract more like-minded tenants
• Drive an increase in rental rates based on the amount of fitness equipment and virtual classes you offer residents
• Show that the management cares about the wellness wants and needs of the residents

While other amenities may rank highly for resident satisfaction and increase occupancy rates, having a fitness center on the property and the ability to access name-brand fitness courses is becoming more important to residents. This trend isn't showing any signs of slowing. Property owners and managers who want to attract and retain residents should look for ways to increase their fitness offerings to stay relevant in the current market.

Key Multifamily Fitness Center Trends

The idea of having an upscale multifamily fitness center on hand is important — even for the residents who might not directly inquire about it. Consider trends in the multifamily housing sector that they'll surely notice as they tour your property for the first time.

On-Demand Fitness and Virtual Training

It's easy to supplement your fitness center offerings with on-demand and virtual training options. On-demand fitness training may include a library of videos that build on each other to create a curated workout for each resident. Likewise, virtual training allows a resident to take a targeted area of exercise, such as walking, yoga, or weight training, and focus on it on their own time.

Wellness-Oriented Spaces

Gone are the days when residents only expected an empty apartment and a laundry room when you handed them their keys. Residents are increasingly drawn toward communities that feel communal and boast amenities conscious of mental and physical wellness. These could look like upscale fitness centers, multipurpose spaces that foster interaction between residents, or equipment that can offer a more personalized exercise routine.

Outdoor and Green Fitness Areas

Green spaces aren't just for walking dogs anymore. Many residents, especially those in urban areas, want a green space to unwind, practice yoga or tai chi, or meditate in a more natural setting. Providing a well-maintained green fitness area, especially in a temperate climate, can set your property apart and help retain residents.

Sustainability in Fitness Centers

Sustainability is a common buzzword, but what does it mean in regard to a fitness center? Think about all the power needed for fitness equipment, space cooling and heating, and more. This could drive up your energy bill quickly — and your tenants may balk at the idea of paying even more for a space they take for granted when renting an apartment.

Consider implementing the following practices to reduce your carbon footprint in your property's fitness center. Also, remember that today's potential residents are typically environmentally conscious as well as fitness-minded. You can decrease your carbon footprint and promote the following to attract energy-conscious residents:

• Use outdoor areas and green spaces when possible for your fitness areas. If you live in a cooler climate, use airflow from windows to cool the space.
• Investigate equipment that's energy-friendly. Some equipment can be set to shut off automatically if nobody's using it, which can save a lot of energy in a space with multiple treadmills, ellipticals, and rowing machines.
• Conserve water by installing low-flow toilets, showerheads, and leak detectors.
• Consider installing lighting that isn't too harsh or too dim. Some multifamily housing complexes contain lighting that mimics circadian rhythms, while others switch out harsh overhead lighting that reminds them of an office environment for a more natural color temperature.

You may also consider educating residents about sustainable practices and inviting them to share their ideas for improving the fitness center. Typically, the more involved tenants feel in the community, the more they're invested in calling your property home.

Technology and Fitness Center Innovations

Providing the above amenities and ensuring that your fitness center is well-maintained is the foundation for a long and profitable relationship with your tenants. You can also set your fitness center apart from the property across the street by leaning into new smart technology and innovations that your competitors haven't yet accessed. For example, don't stop at a state-of-the-art fitness facility. Include apps that provide metrics and fitness measurements.

Seemingly small perks like these can play into multifamily housing market trends and give your units an edge on the market. Tech apps and types of software connected to your fitness equipment can track fitness metrics. For example, motion sensors can capture heart rate, respiration, and steps per minute in real time. This is incredibly valuable data for the residents trying to feel healthier as they'll have a quick, convenient way to track their data.

For health-minded communities, fitness apps can also foster community engagement. Tenants can encourage each other, engage in friendly competition, and celebrate milestones in their fitness journeys together.

Stay on Top of Multifamily Housing Trends With Fitness On Demand

Is the multifamily industry growing? Undoubtedly. Ensure your multifamily property stays relevant by offering an amenity that your competitors don't.

Fitness On Demand is a world-class platform that combines traditional and digital fitness into a single source for all your tenants to access at their convenience. It allows you to provide your residents with an exciting library of on-demand workout videos including pilates, dance, yoga, elliptical workouts, and more.

Request your demo today and start bringing state-of-the-art workouts to your space — wherever you're located!