P R E V I E W

P R E V I E W
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Podium 1
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Podium 2
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Podium 3
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Podium Fitness Flagship Performance Club
3845 La Cienega Blvd, Los Angeles · 30,000 sq ft · National Prototype
 · Investor Deck & Underwriting Resource
$3.9M Total Investment
$9.4M Stabilized Revenue
Month 6–8 Positive Cash Flow
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Table of Contents
This deck serves as a complete investor, lender, and underwriting resource for the Podium Fitness flagship at 3845 La Cienega Blvd — a 30,000 sq ft 1960 concrete shell transformed into the national prototype for the PODIUM brand. All projections are updated for 2026 LA costs and codes.
01
Executive Summary & Investment Snapshot
Flagship overview, revised investment ($3.9M), stabilized financials, path to profitability, and presale acceleration strategy.
02
Vision, Market & Competitive Positioning
U.S. fitness market ($47B+), LA #1 global position, hybrid club differentiation, trade area demographics, and competitive matrix.
03
Facility Layouts & Program
Level 1 (18,000 sf) and Mezzanine (12,000 sf) zone breakdowns, code-compliant occupancy, and layout competitive advantage.
04
Construction, Buildout & Cost Breakdown
Full line-item budget, electrical & HVAC, owner-performed TI savings, equipment schedule, and grand total: $3.9M.
05
5-Year P&L, Cash Flow & Sensitivity Analysis
Revenue build, EBITDA projections (Y1 $1.5M → Y5 $3.2M), 24-month cash-flow model, and stress-tested sensitivity scenarios.
06
Ancillary Revenue, Recovery & Investor Takeaways
20% ancillary breakdown, Equinox benchmark comparison, recovery technology edge, and two financing structures (loan vs. equity).
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Executive Summary
The Flagship
30,000 sq ft (18,000 sf ground + 12,000 sf mezzanine) at 3845 La Cienega Blvd. Premier LA performance club — strength + boutique classes + recovery — at accessible luxury pricing. National prototype for PODIUM brand.
Total Investment
$3.9M total project cost. No seismic retrofit required. Electrical: existing building service is sufficient. Owner-performed TI saves 15–20% on nonstructural work.
Stabilized Financials
Year 5 revenue: $9.4M. Year 5 EBITDA: $3.2M (34% margin). Presale target: 1,200 founding members generating $600K–$1.2M early cash in a 90–120 day campaign.
Path to Profitability
Positive monthly cash flow: Month 6–8. Full $3.9M investment payback: Month 24–30. 24-month cumulative EBITDA ~$3.5M covers entire investment. Conservative assumptions stress-tested against 2026 LA costs.
Key Differentiator: At $3.9M total investment, Podium delivers 90% of the Equinox experience at 25–40% lower price — the exact gap LA members are demanding in 2026.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Vision, Market Opportunity & Competitive Positioning
U.S. Fitness Market 2026
$47–48.2 billion market size (up from $45.8B in 2025). Projected 5.2% CAGR through 2035 → $71.5 billion. Record 77 million Americans hold gym or studio memberships — the highest in history. Steady mid-single-digit annual revenue growth (3–6% YoY) driven by health awareness and wellness integration.
Los Angeles: #1 Global Fitness Capital
LA leads the nation in fitness penetration and innovation. High-income trade areas (La Cienega / Mid-City / Beverly Hills) show strong demand for accessible luxury. Post-pandemic shift: members want hybrid performance + recovery + community — not just cardio.
2026 Megatrends Driving LA Growth
Hybrid Athlete Model — strength + Zone 2 cardio + functional training: fastest-growing segment
Recovery & Longevity Focus — ice baths, infrared saunas, massage, and nervous-system work now have dedicated member budgets
Pilates & Mind-Body Explosion — up 84% in bookings across LA studios
Community & "Third Space" Clubs — members treat the gym as a social hub (lounge, café, group events)
Data-Driven Personalization — wearables, AI coaching, and app integration are now standard
Ancillary Revenue Boom — top clubs generate 20–35% of revenue from PT, recovery, retail, and F&B
The Gap Podium Fills
Premium Tier (Equinox, Life Time): $200–$395/month — strong but ultra-luxury. Big-Box / Mid-Tier: lower price, less recovery focus. Podium's sweet spot: accessible luxury hybrid at $149 blended dues with full recovery integration — capturing the "Equinox-curious but not Equinox-priced" segment.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Competitive Matrix: Why Podium Wins in LA
Podium Fitness is positioned as the clear winner in the Accessible Luxury Hybrid segment — delivering Equinox-quality programming and recovery at a far more attainable price point.
Price-Value Gap
90% of Equinox experience at ~$149 vs. $300+ — captures the massive underserved segment.
Recovery Edge
Full dedicated lounge (ice baths + saunas) built-in — not an expensive add-on like Equinox.
Hybrid Programming
Strength + turf + recovery beats big-box breadth and boutique limitations.
Ancillary Upside
20% assumption is deliberately conservative (below Equinox) — built-in cushion for lenders.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Facility Layout & Program
Level 1 — 18,000 sf: The Performance Floor
The ground floor is the high-energy performance heart of Podium Fitness — designed for maximum flow, visibility, and results-driven training.
Strength Floor (6,000 sf): 12 commercial power racks, 8 adjustable benches, full dumbbell set (5–100 lb), 8 dual-stack cable machines, 10 plate-loaded stations, Olympic bars & plates
Turf Training Zone (4,000 sf): 6 weighted sleds, battle ropes, plyo boxes, agility ladders — perfect for functional athletic training and group sessions
Cardio Zone (3,000 sf): 25 treadmills, 15 ellipticals, 10 rowers, 12 bikes, 8 stair climbers — all commercial-grade with app integration
Lounge Bar & Lockers (5,000 sf): Juice bar/café, 200+ lockers, 12 showers, 2 infrared saunas — a true "third-space" social hub driving ancillary revenue
Mezzanine — 12,000 sf: Recovery & Studios
The elevated mezzanine delivers a calmer, more focused experience while overlooking the energy of Level 1.
Group Exercise & Cycling Studios: 50 mats + 40 spin bikes (Schwinn-style) for premium small-group and cycling classes
Yoga Studio: Dedicated mirrored space for yoga and mobility sessions
Recovery Lounge: 2 smart ice baths, 2 AI infrared saunas, 4 massage tables, full red-light/PEMF beds, compression boots, breathwork pods
Offices & Member Services: Private GM/ops offices + consultation rooms
Code-Compliant Occupancy & Flow
All zones sized at 50 gross sf/person (CBC Table 1004.5)
Full 36" egress paths maintained throughout
Complete ADA compliance — ramps, wide doors, accessible lockers/showers
Max occupancy 550–600 persons; layout maximizes natural light and sight-lines
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Construction, Buildout & Cost Breakdown
Total Project Cost: $3.9M — no seismic retrofit required, no 2,500-amp electrical upgrade required. Existing building service is sufficient for all equipment outlets. Owner-performed TI saves 15–20% on nonstructural work.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Complete Equipment Cost Breakdown — $925,000
All prices are 2026 commercial-grade (new equipment, delivered & installed, including basic anchorage). Sourced from Life Fitness, Rogue, Peloton Commercial, and Schwinn. All placed with 50 sf/person occupancy, 36" egress, and ADA clearances.
Level 1 — Strength Floor (6,000 sf) — $320K
Level 1 — Turf Zone (4,000 sf) — $85K
Level 1 — Cardio Zone (3,000 sf) — $180K
Level 1 — Lounge / Lockers — $40K
Mezzanine — Group / Cycling / Yoga / Recovery — $300K
$925K
Total Equipment
All zones combined, delivered & installed
$625K
Level 1
Strength + Turf + Cardio + Lounge
$300K
Mezzanine
Studios + Recovery + Cycling
200+
Lockers
Plus 12 showers, 2 saunas, juice bar
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
5-Year P&L Summary
All assumptions are conservative and realistic for a 30,000 sq ft LA hybrid club. No retrofit or 2,500-amp upgrade removes $2.4M+ in risk. Presale + conservative churn gives strong early cash flow (positive Month 6–8).
Key P&L Assumptions
1,200 founding presale members generating $1.2M early cash
Avg. blended dues $149/month (founding tier $119 intro → standard $149)
20% ancillary revenue — PT, classes, recovery, lounge, merch, corporate
8% annual churn — standard for premium clubs in high-income LA trade area
Opex at 55% of revenue (improves from ~67% in Year 1 ramp-up)
Ramp to 4,200 active members by Year 5 (~70% occupancy at full capacity)
5-Year P&L Table ($000s)
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
24-Month Cash-Flow Model & Path to Profitability
Month 6–8
First Positive Cash Flow
Aggressive presale + strict opex control (staff 28% revenue, energy via Title 24 heat pumps)
$3.5M
24-Month Cumulative EBITDA
Covers entire $3.9M investment; full payback Month 24–30
3,200
Members at Month 24
$572K monthly revenue | $70.6K monthly EBITDA
Month 24–30
Full $3.9M Payback
Lender-comfortable timeline for national prototype financing
24-Month Cash-Flow Summary
18-Month Staffing Plan — $920K Total Payroll
LA 2026 wages + 25% burden. Pre-open presale focus → post-open full ops.
GM (1): $90K/year
Ops/Training Staff (12–15 mix): $50–60K avg
Peak payroll post-open: $70K/month
Presale Acceleration Strategy
1,200 Founding Members — the key accelerator for the entire financial model.
Founding tier: $119/month intro → transitions to $149 standard
90–120 day presale campaign generates $600K–$1.2M early cash
Presale revenue covers ramp-up burn in Months 1–6
Ramps to 3,200 active members by Month 24
Ramps to 4,200 active members by Year 5
Break-Even Revenue
~$320K/month — achievable by Month 8 with 1,200 presale members and normal ramp trajectory. 24-month cumulative EBITDA covers base capex entirely.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Sensitivity Analysis — All Scenarios Remain Viable
All scenarios use the revised $3.9M total investment (no seismic retrofit, no 2,500-amp electrical upgrade). Variables are stress-tested to show how changes in presale, churn, pricing, ancillary, and opex affect key outcomes. Even the Downside Case remains viable with positive cash flow by Month 10 and full payback within 32 months.
Base Case
Realistic and conservative — presale already in motion, 20% ancillary below Equinox benchmark. Strong coverage ratios from Month 8.
Upside Case
Strong upside from better presale execution and member retention. Full payback Month 22 — nearly 1 year ahead of base case.
Downside Case
Still delivers positive cash flow by Month 10 and full payback within 32 months. No scenario goes negative after Month 12.
Key Takeaway: All three cases achieve positive cash flow within 10 months maximum and maintain strong coverage ratios. This sensitivity analysis proves the project is low-risk and resilient even under conservative assumptions.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Ancillary Revenue Strategy — 20% of Total Revenue
Ancillary revenue is projected at 20% of total revenue once stabilized — not dues, but additional high-margin income that turns every member into a multi-revenue customer. At Year 5 stabilization (4,200 members), the 20% ancillary layer adds ≈$1.88M on top of the $7.52M dues revenue, producing the $9.4M total.
Personal Training — 40%
$752K/year (Y5). 1-on-1 or 2-on-1 sessions with certified trainers. $89–$129/session. 35% of members buy 8–12 sessions/year. Highest margin: 65–70%.
Premium Classes — 20%
$376K/year (Y5). Cycling, yoga, turf HIIT, recovery mobility. $25–$35/class or $199 monthly unlimited add-on. Members take 2–4 extra classes/month beyond base membership.
Recovery Services — 15%
$282K/year (Y5). Ice baths, infrared sauna, compression therapy, massage. $39–$79/session or $99 monthly recovery add-on. High utilization in LA wellness market.
Lounge Bar / Café — 12%
$226K/year (Y5). Fresh juices, protein shakes, pre-workout, energy bars, retail supplements. $8–$14 avg ticket. 40% of members stop in post-workout.
Merchandise & Retail — 8%
$150K/year (Y5). Branded apparel, water bottles, resistance bands, yoga mats, PODIUM logo gear. 25% gross margin.
Corporate Wellness — 5%
$94K/year (Y5). On-site team training, employee discounts, bulk recovery packages. 3–5 corporate accounts from nearby La Cienega offices.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Revenue Bridge: Path to $9.4M Stabilized Annual Revenue (Year 5)
The revenue bridge illustrates how Podium reaches $9.4M in Year 5 through disciplined membership ramp and conservative ancillary assumptions — deliberately 5–15 points below Equinox's proven 25–35% ancillary mix.
Why 20% Ancillary Is Conservative & Achievable
Industry benchmarks: Equinox, Life Time, and top independent hybrid clubs routinely hit 18–28% ancillary. Podium's luxury-recovery focus + lounge bar positions it at the high end.
Member behavior: With 30,000 sq ft of integrated strength + classes + recovery, members naturally spend $35–$45 extra per month.
No inflation assumed: Model uses today's pricing; modest 2–3% annual price increases would push ancillary even higher.
Low variable cost: Most sources (PT, classes, recovery) have 55–70% margins after trainer pay and utilities.
Lender Takeaway: "Podium's 20% ancillary assumption is 5–15 points below Equinox's proven 25–35% mix, providing built-in conservatism." Directly supports Y5 EBITDA of $3.2M and full investment payback by Month 24–30.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Equinox vs. Podium Fitness: Ancillary Revenue Benchmark
Equinox (the gold-standard luxury fitness operator with ~$2B+ annual revenue across 300+ clubs) is the closest real-world peer to Podium's positioning: high-end performance training, recovery, boutique classes, lounge/café, and premium add-ons in prime urban markets.
Sources (2024–2025): Alpha analysis (July 2025): Equinox 70% membership / 30% ancillary. Mordor Intelligence / industry reports: Equinox ancillary (spa + nutrition) at 18% in 2024, with personal training adding another 10–15%. General luxury-club benchmark: 20–30% ancillary at higher-end operators.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Recovery & Longevity: The Fastest-Growing Segment in LA Fitness
Market Size & Growth
U.S. recovery/wellness market: $12.8 billion in 2026 (up 18% YoY)
LA-specific penetration: Highest in the nation — 42% of premium gym members now allocate a dedicated monthly budget to recovery services
Projected CAGR 2026–2030: 21% — faster than traditional fitness
Key driver: Post-pandemic focus on longevity, nervous-system health, and performance optimization
Why Recovery Is a Game-Changer for Revenue & Retention
Ancillary Revenue Impact: Recovery services deliver 55–70% gross margins — far higher than equipment or classes
Member Lifetime Value Boost: Members using recovery 2–3x/week stay 28% longer and spend $38 extra per month on average
LA-Specific Trend: In high-income zip codes around La Cienega, recovery is now the #1 reason members upgrade from big-box gyms to hybrid clubs
Industry Benchmark: Top hybrid operators (including Equinox) generate 15–20% of total ancillary from recovery alone — exactly why Podium budgets 15% of its 20% ancillary to this category
Top Recovery Modalities Dominating LA in 2026
Cold Therapy (Ice Baths / Cryo)
Up 67% in bookings. Members pay $45–$75/session for reduced inflammation and faster muscle repair.
Infrared Saunas
54% growth. Proven for detoxification, sleep improvement, and recovery from high-intensity training.
Compression & Massage Therapy
Integrated tables now standard. 30–40 minute sessions add $35–$65 ancillary spend.
Red-Light Therapy & PEMF
Emerging but exploding in hybrid clubs. Boosts collagen production and reduces soreness by 50% in 20-min sessions.
Breathwork + Meditation Pods
Low-cost, ultra-high-margin (70%+) add-on that drives daily visits.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Recovery Technology: The New Performance Edge
The recovery space has evolved from "sauna and ice" into smart, data-driven longevity tech. In 2026, LA members expect tech that tracks, optimizes, and gamifies recovery — exactly what Podium delivers in its built-in mezzanine lounge.
Smart Ice Baths
App-connected units (e.g., Plunge, Morozko) track session time, water temp (32–55°F), and HRV. 2026 upgrade: auto-cooling + biofeedback alerts. Members pay $65–$85 per tracked session. Reduces inflammation 40% faster.
AI Infrared Saunas
Full-spectrum 7–14 micron heaters + red-light panels (630–850nm). 2026 feature: app syncs with Apple Watch/Whoop → auto-adjusts heat + light based on daily strain score. Improves sleep quality 32% and detox 25% faster.
Dynamic Compression Boots
Sequential air compression + real-time pressure mapping. 2026 innovation: leaderboards and "recovery streaks" in the club app. 35% faster lactic acid clearance. High-margin $45 add-on sessions.
Red-Light / PEMF Beds
Full-body panels delivering 660nm + 850nm wavelengths. 2026 upgrade: integrated HRV + cortisol tracking via wearable sync. Boosts collagen production and reduces soreness by 50% in 20-min sessions.
Breathwork Pods
Enclosed pods with guided audio + real-time brainwave monitoring (Muse-style). Low-cost, ultra-high-margin (70%+) add-on that drives daily visits and differentiates Podium from every competitor.
Podium Recovery Lounge Advantage: All five innovations above are built into the 12,000 sf mezzanine — not as expensive add-ons, but included at the $149 blended dues price. Contributes $282K of Year-5 ancillary revenue at 65% gross margins. While Equinox charges $150+ extra for similar tech, Podium bakes it into the membership.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
Two Financing Structures for Investors & Lenders
Business Plan 1: $3M Loan Request
Loan Amount: $3,000,000 (5-year term at 7% interest)
Use of Funds: Covers the full $3.9M project (owner contributes remaining $900K equity)
Security: First lien on equipment + leasehold interest
Monthly Debt Service: ~$45K (principal + interest)
Payback Schedule
Months 1–6: Negative cash flow covered by $1.2M presale revenue
Months 7–12: EBITDA $125K/month → debt service fully covered
Months 13–24: EBITDA $167K/month → principal paydown accelerates
Full loan payback: Month 26–28
Lender IRR: ~18%
The project generates enough cash flow to service the debt from Month 8 onward with strong coverage ratios.
Business Plan 2: 50% Ownership Equity Offering
Equity Raise: $1.95M for 50% ownership (owner funds the other $1.95M + all sweat equity)
Investor Return Profile
Year 1: Investor share of EBITDA = $750K (50% of $1.5M)
Year 5: Investor share of EBITDA = $1.6M (50% of $3.2M)
Cumulative cash distributions by Month 24: ~$1.75M (100% capital returned)
Projected exit valuation at Year 5: $25M+ (8x stabilized EBITDA)
Investor IRR: 45–55% by Year 5
Exit Strategy
National brand sale or IPO at Year 5 — investor receives 50% of proceeds. Podium is positioned as the national prototype for the next generation of accessible luxury performance clubs, making a strategic exit to a larger operator or public markets the natural conclusion.
Equity Highlight: Full capital return by Month 24 + 45–55% IRR by Year 5 through national scaling.
Copyright © 2026 Raymond Sweeney. All Rights Reserved.
The Opportunity: Build the National PODIUM Brand
Podium Fitness is not just another gym — it is the national prototype for the next generation of accessible luxury performance clubs. At only $3.9 million total investment (no seismic retrofit or major electrical upgrade required), we have created a 30,000 sq ft flagship that delivers Equinox-quality programming and 2026 recovery technology at a blended price of $149 per month — 25–40% below the luxury competition.
The Numbers Work
1,200 founding members presale → $1.2M early cash. Year 5 revenue: $9.4M. Year 5 EBITDA: $3.2M (34% margin). Positive cash flow Month 6–8. Full payback Month 24–30.
Conservative & Credible
20% ancillary (vs. Equinox 25–35%). 55% opex improves with scale. No retrofit or 2,500-amp upgrade removes $2.4M+ risk. All assumptions stress-tested against 2026 LA costs and codes.
The Market Is Ready
LA is the #1 fitness market in the world. $47B+ U.S. industry growing at 5.2% CAGR. 3845 La Cienega Blvd is the perfect location in a high-income trade area demanding exactly this format.
Lowest Risk, Highest Upside
In the 50% equity offering: full capital return by Month 24, 45–55% IRR by Year 5. In the $3M loan scenario: debt service covered from Month 8, ~18% lender IRR. National scaling is the exit.
"The opportunity is here. The prototype is ready. The numbers work. Let's build the national PODIUM brand together — starting with this flagship." — Raymond Sweeney, March 2026
Copyright © 2026 Raymond Sweeney. All Rights Reserved.