Costs and funding

    Gym Buildout Cost Per Square Foot: Where Gym Budgets Blow Up

    October 23, 2026

    Last updated Oct 20, 2026

    In short

    Gym buildout costs about $10 to $30/sq ft in second-generation gym space, $40 to $90/sq ft in second-generation retail or office, and $90 to $150 or more per sq ft in a raw shell. The Southeast is the lowest-cost region in the U.S. for retail fit-outs. Budgets blow up on HVAC, electrical, plumbing and permit delays far more often than on finishes.

    • $117/sq ft [1]: Southeast in-line retail fit-out average, 2025.
    • $157/sq ft [2]: U.S. retail fit-out average, 2026.
    • $15 to $35/sq ft [3]: commercial HVAC upgrade budget for a gym.
    • 4.54% [4]: year-over-year construction cost growth in Nashville, Q2 2025.

    Second-generation space vs. a raw shell

    For benchmarking, Cushman & Wakefield's 2025 guide puts the Southeast fit-out average at $117/sq ft against $155 nationally, and its 2026 guide puts the national figure at $157.

    Where budgets blow up

    1. HVAC. Gyms produce far more heat and humidity than retail. The Workout Mag budgets $15 to $35/sq ft for commercial HVAC upgrades.
    2. Electrical. Treadmills, saunas and cold plunges need dedicated circuits. Commercial traditional sauna heaters typically need 208V three-phase power.
    3. Plumbing. Adding restrooms or showers can mean cutting slab.
    4. Code-driven items. The 2021 IBC classifies gymnasiums without spectator seating as Group A-3 assembly use, while small tenant spaces under 50 occupants can be classified as Group B under §303.1.1. The classification drives sprinklers, fire alarms, exits and restroom counts.
    5. Permit timing. Every re-review cycle adds weeks of rent with no revenue. Metro Nashville allows 30 days for plan review and accepts third-party review for tenant finish-out. Local timelines are in the city guides for Nashville, Charlotte, Chattanooga and Asheville.

    Are Southeast construction costs rising?

    Yes, moderately. Rider Levett Bucknall's Q2 2025 East report lists year-over-year construction cost growth of 4.54% in Nashville.

    How to keep buildout under budget


    See also: how much it costs to open a gym, small gym startup costs and commercial gym equipment cost.

    Frequently asked questions

    What is the average buildout cost for a gym? It depends on space type. The Southeast retail fit-out average is $117/sq ft. Second-generation gym space can cost a fraction of that.

    Does the landlord pay for gym buildout? Often in part, through a tenant improvement allowance. You negotiate it in the lease.

    Is HVAC required for a gym? Yes. HVAC sized for workouts is one of the most common unbudgeted upgrades.

    Sources

    1. Fit Out Cost Guide 2025: Americas Retail. Cushman & Wakefield, 2025. Accessed Oct 20, 2026.
    2. 2026 U.S. Retail Fit Out Cost Guide. Cushman & Wakefield, 2026. Accessed Oct 20, 2026.
    3. How Much Is It to Start a Gym? 2026 Cost Benchmarks. The Workout Mag, 2026. Accessed Oct 20, 2026.
    4. RLB Construction Cost Report: East Q2 2025. Rider Levett Bucknall, 2025. Accessed Oct 20, 2026.
    5. Gym Startup Costs in 2026: What It Really Takes to Open Your Doors. Vagaro, 2026. Accessed Oct 20, 2026.
    6. The Cost of Owning a Gym in 2026: Full Breakdown. ABC Fitness, 2026. Accessed Oct 20, 2026.
    7. Saunas for Gyms, Spas & Wellness Centers: The Complete Commercial Buyer's Guide. Haven of Heat. Accessed Oct 20, 2026.
    8. 2021 International Building Code, Section 303.4: Assembly Group A-3. International Code Council. Accessed Oct 20, 2026.
    9. 2021 International Building Code, Chapter 3: Occupancy Classification and Use. International Code Council. Accessed Oct 20, 2026.
    10. Commercial Permit FAQ (6/2026). Metro Nashville Codes and Building Safety, June 2026. Accessed Oct 20, 2026.
    11. Commercial Checklist. Buncombe County Permits & Inspections. Accessed Oct 20, 2026.

    Want this looked at for your facility?

    We work with a limited number of gyms and wellness owners at a time. Start with a call and we will tell you where we would begin.