For many fitness operators, energy is one of the largest—and least controlled—operating expenses. Gyms routinely spend 25–40% of operating costs on utilities, driven by long opening hours, high ceilings, HVAC intensity, humidity control, lighting, showers, and specialized spaces like pools and studios. In many clubs, energy is second only to rent and labor—yet historically treated as a fixed cost.
As a result, leading fitness brands are choosing to outsource both the capital and the risk of energy modernization.
Under an Energy‑as‑a‑Service model, operators don’t fund new equipment upfront. Instead, modern HVAC, LED lighting, and metering and monitoring infrastructure are installed at no cost, and the provider earns its return over time through the verified energy savings the upgrades produce. The operator benefits immediately from lower, more predictable utility expenses—without deploying capital or taking on performance risk.
Orangetheory Fitness is a strong example. One large franchise group upgraded HVAC systems across 53 locations to better manage temperature and humidity during high‑intensity classes. The result: more consistent studio conditions, improved member satisfaction, and lower energy waste across the portfolio.
For larger, complex facilities, Healthtrax demonstrates what’s possible even in energy‑intensive environments. A 30,000‑square‑foot club with pools, studios, childcare, and courts replaced decades‑old HVAC equipment—without operational disruption—resulting in improved reliability, comfort, and long‑term cost control.
The takeaway for fitness real estate owners and operators: energy efficiency isn’t just a sustainability initiative. It’s a strategic lever to protect margins, stabilize cash flow, and future‑proof portfolios—especially as utilities continue to rise.
Learn more from Budderfly about optimizing energy for healthcare and fitness facilities, or connect with Norm at Norm.Pensky@budderfly.com to explore how these strategies could apply to your business.
