Feasibility study and business planning helps institutions such as health systems, municipalities, and foundations assess potential development of a community-facing medically integrated fitness and wellness center. This is a large and important investment, demonstrating an institution’s commitment to promoting healthy lifestyles and fostering community wellness. Determining a potential center’s viability is a detailed and complex process.
Since our inception in 1996, Power Wellness has grown to be the nation’s largest institutional fitness consulting and management company. We leverage our team of seasoned medical fitness experts, drawing from over 25+ years of unparalleled expertise in fitness / wellness facility feasibility, operations, and management, to guide our feasibility study and business planning process. This proven approach is based on over 100 consulting projects completed for institutions nationwide.
A feasibility study needs to show ideal location, market demographics, membership potential, optimal facility usage, and competitive analysis for a potential medical fitness center. It may also need to assess the potential for incorporating additional services such as medical office space, physical therapy, and sports medicine, among other things.
Power Wellness is committed to our institutional clients, helping each realize its unique, strategic vision. Through meticulous research and analysis, our dedicated team conducts a comprehensive, two-phased feasibility study and business plan. Each offers insightful and objective recommendations to guide the development of a potential facility and is flexibly designed to meet client needs. Both phases leverage our proprietary data-driven projection models and comparable financial models from current Power Wellness operations.
The feasibility study focuses on selecting the ideal type, location, cost, and timeline for a potential medical fitness facility. It takes approximately twelve weeks, and follows the steps below:
Feasibility Study: Phase One – 12 Weeks

Vision and Objectives
Power Wellness conducts in-depth qualitative research with key project stakeholders to define the project’s overall vision and objectives. Key constituent input is summarized using a SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats). This format captures alignment (or lack thereof) across key audiences.
Market Research
Feasibility study market research is based on a community survey with a qualified sample of households in the projected service area; focus groups and one-on-one discussions with selected community representatives; service area demographic data; and a thorough evaluation of area fitness and recreation centers.
Demand Projections
Power Wellness uses two distinct methodologies to calculate projected participation (demand) based on the (1) community survey and (2) service area demographic data.
Price Acceptance
Projected participation feeds our price acceptance model. Feasibility study price acceptance modeling explores projected dues revenues across participation cohorts and categories, i.e. single/couple/family members. Price acceptance modeling also takes subsidized membership into account.
Preliminary Sizing
Input from focus groups, stakeholder interviews, and surveys is factored into the programmatic needs, features, amenities, and desired ancillary services based on ranked priorities and preferences. Desired features, amenities, and programs derived from the demand projections (which are in turn derived from market research findings and Power Wellness benchmarks) are used to determine total preliminary square footage.
A business plan is developed contingent upon the successful completion of the feasibility study (phase one). It takes eight weeks to complete, and includes:
Business Plan: Phase Two – 8 Weeks

Program Volume Projection and Space Plan
Preliminary sizing from Phase One includes rough square footage estimates for each program component based on estimated utilization. This information will be combined into a detailed matrix identifying all program components and their recommended square footage to help the selected architectural consultant create a detailed “block and stack” space plan.
Preliminary Design
Preliminary design is Based on findings from Phase One and includes a review of the completed site analysis to confirm the selected location’s viability. Power Wellness, in collaboration with an architectural consultant, creates “block/ stack” plans. These plans clearly communicate each program element with scaled sizing, synergistic adjacencies, and consider existing building infrastructure and mechanicals.
Preliminary Project Cost / Financial Proforma / Business Model
Preliminary project costs are based on building size and components, such as equipment, amenities, features, and programming requirements. The financial pro forma covers five-year operating revenues and expenses at the summary and detail levels. Staffing proforma and capital replacement costs are also included in the financial analysis
Integration Strategies / Programming / Marketing Considerations
Power Wellness specializes in integrated community fitness centers and has extensive experience blending community cohorts. We will recommend integration strategies including programming, hours of operation, staffing, and pricing to maximize participation among all cohorts, to make our client’s vision successful.
Final Plan
A draft feasibility study report is shared for client review. Client comments, edits, and recommendations are incorporated into the final plan, which contains all materials from both phases.
Power Wellness’ feasibility study relies on thorough, thoughtful processes. Our proven approach is based on over 100 consulting projects completed for institutions nationwide. We work in collaboration with our clients to ensure a successful outcome – a rightsized, sustainable fitness and wellness center that serves the community with effective and enjoyable fitness and wellness programming for all ages and abilities.