Planet Fitness Tenant Overview


  • Long leases
  • Daily draw for people, elevating the property values around it
  • Strong increases during the primary term


  • Large format, hard to re-tenant
  • Higher price points

Tenant Description

Planet Fitness is a chain of health clubs.

Planet Fitness is an attractive net lease tenant because of its ability to draw members to the gym a few times a week, increasing vehicle and foot traffic in the surrounding area. Planet Fitness clubs help elevate nearby businesses. Planet Fitness leases tend to be for a long period with strong increases and they give investors an asset with built-in inflation protection. Planet Fitness tends trade at lower prices as they are smaller sized facilities.

Planet Fitness does operate in larger buildings in order to accommodate all of the amenities and equipment they offer, such as pools, saunas, etc. Any large format building can be difficult to backfill if the tenant leaves; however, gyms are growing in popularity as an option to fill vacant anchor tenant space so they can be attractive to investors. Gyms of all sizes have opened to accommodate the large growth in memberships over the past few years.

Planet Fitness started when it’s founders purchased a struggling Gold’s Gym franchise in Dover, NH, deciding to rename it. Today they have nearly 2,400 locations. Planet Fitness offers members weight and cardio equipment, in addition to group fitness classes and personal trainers available. More than 90% of Planet Fitness locations are owned and operated by their franchisee.

Average Cap Rate
Trailing 12-month average
Average Property & Lease
Average Sale Price $5,672,667
NOI $368,495
$/Square Foot $227 -$334
Building SF 17,000 - 25,000 sf
Lot Size 1.0 - 5.0 acres
Lease Term 15 Years
Escalations 10% Every 5 Years
Stock Symbol N/A
Credit Rating
Moody's N/A
Average Cap Rate Trend
Rates reflect year-over-year comparison
Recent Sales Comps
Folsom, CA 5.25%
Ventura, CA 5.91%
Schaumburg, IL 9.39%