In Your Zone: From “Nice-to-Have” to Market Differentiator

In multi-unit housing, amenities should no longer be thought of as add-on's because they are competitive levers. And among them, fitness centers are rapidly becoming one of the most powerful drivers of resident satisfaction, retention, and asset value.  

At a high-rise residential community on Chicago’s Lakeshore Drive, leadership set out to transform a dated, underutilized gym into a destination-level wellness experience. What followed wasn’t just a renovation. It was a blueprint for how residential operators can rethink fitness as a strategic investment.  

This is the story of how they approached vision, data, design, and resident engagement, and what facility leaders across multi-unit housing can learn from it. To tell the story, we sat with Monica Melchiori, Property Manager, and Callista Villagomez, Assistant Property Manager, to get the insights behind this amazing property.  

Luxury Starts with Intentional Experience Design  

The original vision for the Lakeshore Drive fitness center wasn’t simply to upgrade equipment; it was to create a spa-like environment that felt premium, cohesive, and intuitive. One that enabled luxury to be as much the takeaway as the benefits of the facility itself. As Monica states,  “To me, luxury is the finishes. A cohesive aesthetic. Avoiding that prison-gym feel.”  

The team benchmarked other high-end properties but intentionally set out to exceed them. Instead of a patchwork of equipment and finishes accumulated over time, they focused on a curated environment where materials, layout, lighting, and equipment design worked together.  

Key takeaway for MUH operators:  

Luxury in residential fitness isn’t defined by having the most equipment. It’s defined by intentionality, flow, and cohesion.  

Design for Space, Not Just Equipment Density  

One of the most important decisions was resisting the urge to maximize equipment count. Instead, leadership prioritized open space, movement, and intuitive layout.  

“We were able to keep all of our functionality while adding more,” shared Monica, “but not taking up more space. We wanted all of our spaces to just be a lot more functional.”  

The team grouped equipment strategically and reduced bulky legacy pieces that consumed floor space without delivering utilization.  

Why this matters:  

In residential settings, perceived space is as important as actual square footage. Open layouts communicate luxury and reduce intimidation for novice users.  

Data-Driven Product Mix: Surveys + Sensors  

Rather than guessing what residents wanted, the team combined resident surveys with real usage data.  

• Survey participation: ~20% of residents (225 responses across 800 emails)  
• Equipment usage sensors: Validated actual behavior vs. stated preferences  

“People like to have lofty ideas in surveys,” notes Monica, “but the usage data told us what was actually used.”  

This led to surprising decisions, like removing underused equipment (including a Smith machine) to reclaim space, despite vocal objections from a few residents.  

Key takeaway: 
 
Resident sentiment matters, but behavioral data should guide capital allocation.  

The ROI of Design: Utilization Tripled Post-Renovation  

The results were immediate and measurable.  

• Pre-renovation: ~308 total monthly equipment usage hours  
• Post-renovation: ~9,118 total monthly usage hours (within months of relaunch)  

That’s not an incremental improvement. That’s a transformation.  

Callista notes, “We reopened at the end of summer 2024… by October we averaged 9,118 hours. I’ve never seen that stat until right now.”  

What drove the spike?  

• Clear, intuitive layouts  
• Equipment that felt premium and accessible  
• QR-guided education for novice users  
• A cohesive aesthetic that invited participation  

Fitness as a Resident Engagement Engine  

The renovation didn’t just increase workouts. The new space changed behavior.  

• A long-term resident returned to fitness after nine years of inactivity  
• Prospective residents called asking to join the gym (thinking it was public)  
• New tenants canceled home fitness subscriptions after seeing the facility  

“Someone said, ‘I saw your fitness center,” explains Callista, “I’m selling my home equipment and going all in here.’”  

For operators:  

Fitness is no longer just a perk, it’s a retention and acquisition driver.  

Luxury in Residential: It’s Holistic, Not Just Equipment  

The team emphasized a full sensory experience:  

• Lighting and wood finishes for warmth  
• Plants and biophilic design elements  
• Temperature control for comfort  
• Complimentary towels and hospitality touches  
• Charging-enabled consoles and smart features  

Callista stressed, “We know it has to be a wow factor from the second they step in. The little details matter, like phone charging. They don’t know they want it until they have it.”  

Key insight:  

Residential users expect hospitality-level polish. Fitness centers are increasingly judged like boutique studios or spas.  

Designing for Diverse Resident Demographics  

Unlike commercial gyms, residential fitness must serve every user profile:  

• Early-morning “gym rats”  
• Beginners and older residents  
• Busy parents with limited time  
• Casual cardio users  

“It can’t just be a wow factor for gym rats or cardio users,” Callista states, “it has to work for everyone.”  

This drove decisions like heavier dumbbells (up to ~85 lbs), balanced cardio/strength mix, and intuitive equipment education via QR codes.  

Fitness as a Competitive Real Estate Asset  

While fitness may be a “nice-to-have” in budget conversations, its impact on property value is tangible. Monica is quick to support this from a business perspective. “In this market, it really is a must-have. It helps maintain unit values.”  

During tours, prospective residents consistently reacted to the gym with excitement. In fact, many visitors often cited it as a deciding factor.  

Operators should view fitness as:  

• A leasing and resale differentiator  
• A brand statement for the property  
• A resident satisfaction lever  

Lessons Learned: What They’d Do Differently  

When asked what they’d advise other residential operators, the team highlighted three key lessons:  

1. Survey Residents but Validate with Data  
Surveys reveal preferences. Sensors reveal reality.  

2. Vet Designers and Budget for Finishes  
“The equipment established the credibility and 'wow factor' of our space,” Monica shares, “The finishes escalated the price.”  
Finishes drive perception, but they also drive budget complexity. 

3. Plan Digital Connectivity Early  
Entertainment and AV integration proved more complex than expected.  
“Our biggest complaint wasn’t the equipment,” Monica adds, “it was connectivity and content access.”  

The Strategic Framework: What Residential Operators Should Do  

From this project, a clear framework emerges for MUH fitness planning:  

1. Start with Experience Vision  
Define what luxury means for your residents before selecting equipment.  

2. Design for Flow and Space  
Less clutter = more perceived luxury and accessibility.  

3. Use Data to Drive Decisions  
Combine surveys, usage sensors, and benchmarking.  

4. Build for All Demographics  
Design for beginners and advanced users simultaneously.  

5. Invest in Details  
Lighting, finishes, charging, towels, and layout matter as much as equipment.  

6. Treat Fitness as a Real Estate Asset  
It influences leasing, resale, and brand perception.  

The Future of Residential Fitness: Constant Evolution  

The leadership team views fitness as a continuous evolution, not a one-time project.  

“There’s never comfortability and complacency,” states Callista, “We’re always trying to elevate standards.”  

As trends like strength training, GLP-driven wellness behaviors, and digital integration reshape resident expectations, residential operators must stay proactive.   

Final Thought: Fitness as Front-of-House Strategy  

In multi-unit housing, gyms used to be back-of-house amenities. Today, they’re front-of-house strategy.  

They shape brand perceptions. They drive leasing decisions. They influence resident behavior and satisfaction. And as this Lakeshore Drive case study shows, when fitness is treated with the same rigor as architecture and design, the returns can be transformational.