This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Fitness Franchises Getting Buff

2. Retro Fitness

Corporate locations: 4

Franchise fee: $69,000 per store

Investment: capped at $1.3 million per store

Monthly customer fee: $19.99

Retro movie buffs, this one's for you.

Founded in 2004, Retro Fitness boasts its low cost, yet high value concept offering members a full-service gym experience for just $19.99 a month.

"There's a lot of great things they can still do that they don't have to sacrifice if they went to a traditional low cost provider," founder Eric Casaburi says.

How is that possible? Casaburi says it's all in maximizing square footage, buying equipment in bulk, offering group classes on demand through touch-screen kiosks and adding additional "revenue centers" like a juice bar, personal training, tanning and onsite chiropractic services.

"I found a more efficient way to build a higher-end fitness center and pass the savings along to my customers," Casaburi says. "I was able to buy in bulk. We're able to negotiate better lease agreements."

"Most of the people that were offering [fitness] license or systems really weren't giving you the real total package. No one was doing that. I felt that alone would be a really big niche," he says.

RetroFitness currently has 85 locations in operation, with an additional 15 locations slated to open by the end of the year. The company projects 155 locations to be open or in the development pipeline by the end of 2013.

RetroFitness is already in 10 states, mainly New York and New Jersey, and Casaburi has a longer-term goal of opening more than 300 units by moving into markets such as Chicago, Dallas, Washington, D.C. and North Carolina, and continuing to ramp up in California.

Each RetroFitness location is equipped with a full service fitness center including 60 to 100 pieces of equipment supplied by leading manufacturers such as Life Fitness and Iron Grip. The gyms also have individualized LCD television monitors. And of course, each gym also offers members a "RetroTheatre," where members can work out in a darkened room on cardio machines while watching classic '80s movies (and current ones too).

Casaburi, who also founded Lets Yo! Yogurt last year, and plans to have 30 locations open by the end of 2013, says the fact that multiunit developers are expressing interest in the gym is a good sign.

"We know how to make money inside four walls and our serious investors see that," he says.
4 of 7

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
LTM $72.07 -0.04%
TOWN $18.22 0.00%
AAPL $113.29 0.00%
FB $91.01 0.00%
GOOG $630.38 0.00%


Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs