Operations

A guide to the design and operation of leisure facilities in Build to Rent

Adding the right leisure facilities improves customer experience and can translate into longer tenancies, but they must be properly run and well maintained

Leisure facilities in Build to Rent developments provide a desirable amenity space which can help developers build a community feeling by engaging with like-minded residents.

Leisure facilities can also act as a unique selling proposition (USP) by providing amenities that competing developments don’t have.

It can also allow investors to charge a premium on the rent, over and above the extra cost of installing a facility.

Finally, it will improve the overall wellbeing and happiness of residents, and happy residents can translate into longer tenancies.  

What leisure facilities do residents want and what are the advantages and disadvantages of each? 

FACILITY TYPE	ADVANTAGES	DISADVANTAGES
GYM	Most popular facility Relatively low cost to install  Can be installed to any level within a development  Excellent way to engage with residents  Low running cost	Can take up quite a large space
POOLS & SPAS	Pools are uncommon in BTR so provide a real USP  Can be installed on any level but do well on ground floors or basements	Higher running costs  Complex management requirements  Can be very expensive to install
GROUP EXERCISE	Small space requirements  Virtual studio has very low running costs  Staffed classes could provide an additional income stream  Very low cost to install  Provides a flexible space for multi-purpose use (given the right storage)	Providing lots of classes each week can become expensive  Loose equipment is a potential trip hazard, and an easy target for thieves  Booking and management of the studio is an additional task
LOUNGE AREAS	Versatile space with multiple uses  Good space to host resident events  Small, private workspaces within larger communal spaces are popular	Other than at resident events, the spaces experience relatively low use
CINEMAS	Hugely popular for a wide demographic of residents including families	Expensive to install  Ensuring the correct licences and subscriptions are in place can be costly

Design considerations

A well-designed gym can be very popular with residents but can also take up a large amount of space

Cost analysis and forecasting 

The costs below are based on a mid-high specification of gym equipment from a leading manufacturer, supplied by motive8.  

	PROJECT A	PROJECT B
Total number of apartments	250	750
Gross cost to buy equipment	£108,000	£195,000
Size of gym (sqm)	150sqm	280sqm
Gross cost per sqm of gym space	£720	£696
Gross monthly cost based on a 60-month lease	£2,250	£4,100
Cost per apartment per month	£9	£5.50

Operation of leisure facilities 

With all elements of the operation of any facility, it is important to ensure the service provider who is being promoted to residents is up to the task of delivering the service required and that they, or their team, have the required qualifications, experience and insurances.

Partnering with a reputable company might be marginally more expensive than a local “one-man-band” trainer, but it will provide peace of mind that the facility and the residents are in safe hands.  

Gyms 

Inductions: Considered best practice to ensure safe use of equipment by residents and to ensure they get the most out of their gym facility 

Maintenance: Minimum bi-annual servicing of equipment 

Personal training:  Great additional service to offer residents; try to refrain from allowing residents to bring their own trainers as the management of this becomes problematic and there are grey areas over liability  

Classes and events: A cost-effective way to provide group activities for like-minded residents, for example running clubs, outdoor yoga

Swimming pools and spas 

User safety: Complex guidance over safety requirements of a pool relating to whether lifeguards are or aren’t required along with the various design and operational requirements 

Staff training:  Staff who are designated “on-call” must be pool responder and first aid trained. There should also be an on-site staff member who is competent in pool plant 

Maintenance:  Varies depending on usage but, generally speaking, weekly service visits should suffice. However, water testing is required at least three times per day on a pool and every two hours on a spa pool 

Water testing: Minimum three times per day on a pool and more frequently (up to every two hours) on a spa pool 

Sauna & steam room:  Different councils have differing requirements on their management; refer to the relevant special treatment licence terms  

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