Consolidation is accelerating across the largest fitness franchise systems in the United States, and industry leaders expect the pace of dealmaking to pick up further through 2026. Flynn Group has acquired Grand Fitness Partners and its 98 Planet Fitness locations, while Fitness Ventures picked up 22 Crunch Fitness units to become the largest operator in that system. The trend was a central theme at the inaugural Fitness Finance & Growth Conference hosted by Franchise Times on May 20.
Private equity firms are fueling the growth of many franchisees in major fitness brands, and as more investment dollars flow into the segment, opportunities to buy and sell multi-unit portfolios are multiplying. The dynamic mirrors the roll-up waves that reshaped quick-service restaurant franchising over the past decade, according to Aaron Muccino, a relationship manager in the Citizens Bank franchise finance group.
Private equity is consolidating fitness franchises because scaled operators deliver repeatable unit economics, recurring membership revenue and proven management teams. Bankers say the segment now resembles QSR franchising at the peak of its roll-up cycle, when commercial banks fully funded new development and buyers paid premium multiples simply for committed pipelines. Muccino told operators it may be time to consider an exit when banks fund development entirely, existing stores carry moderate-to-max leverage, and buyers assign value the moment a shovel hits the ground. That climate rewards franchisees who have kept unit economics sharp across their portfolios.
Jeff Nash, co-CEO of large Club Pilates franchisee Riser Fitness, said he still prefers new-studio development for its strong return on invested capital — Riser just committed to 127 new Club Pilates studios — but acquisitions win in “beachhead regions” where a brand lacks presence.
“I don’t want to go into a new region and build a single studio,” said Jeff Nash, co-CEO of Riser Fitness.
That buy-then-build logic is already visible across boutique fitness, from a six-studio Club Pilates acquisition in New Jersey to Crunch Fitness’s push into the Denver metro.
Scaled fitness franchisees benefit from shared regional management, marketing efficiencies and stronger negotiating positions on real estate. Compared with single-unit owners, large multi-unit groups in systems such as Planet Fitness consistently attract institutional capital at higher valuation multiples — a gap that itself accelerates consolidation as smaller owners choose to sell.
The US consolidation wave signals that fitness franchising has matured into an institutional asset class, and that playbook is increasingly portable across borders. For investors in Asia and the Middle East, the lesson is that territory scale matters: regional rights holders who build dense networks early are the ones best positioned to attract private equity later, as seen in Xponential Fitness’s global expansion. As boutique and value-gym concepts deepen their international pipelines, multi-unit and master franchise structures — rather than single-studio deals — are likely to define the next phase of fitness franchise growth in emerging markets.
Source: Franchise Times — More Consolidation Is Coming to Franchised Fitness Systems
