Health and wellness is changing the face of some of Chicago’s most vibrant retail corridors. What began earlier in the decade with health clubs taking over big-box space and the rise in fashion-forward athleisure due to more relaxed “dress codes” during the pandemic has evolved into a more complex category characterized by retailers that combine service, experiences and product. This has made them an attractive prospect not only to consumers but also to landlords.
Emerging health and wellness concepts today increasingly blend health and beauty with a hospitality mindset. Offerings range from boutique fitness clubs dedicated to a single form of exercise like yoga or pilates to wellness clubs that incorporate a variety of treatments and activities focused on holistic health. Examples include Eastend Wellness Club in Fulton Market and the several Chicago locations of SweatHouz, which offer cryotherapy and other water-based treatments. Stretch Lab, which is established in several neighborhoods on the city’s North Side, is another example offering recovery-based therapy for physical mobility specifically.
Another emerging subcategory is aesthetics-driven wellness, which provides dermatological treatments and products with medical oversight and supervision, such as Optimal Wellness & Beauty in Fulton Market and Andersonville Med Spa in Andersonville.
These health and wellness concepts appeal to landlords as they are viewed as providing longer-term stability given the endurance of wellness trends. A 2025 report from McKinsey indicates that 84% of U.S. consumers say health is a “top” or “important” concern and that its $500 billion/year spend was expected to grow 4% to 5% annually. Increasing use of GLP-1s and lower alcohol consumption point to a continued focus on health and both have created opportunities for health and wellness retail concepts. Some of these businesses operate with a membership model that produces a more consistent and predictable revenue stream, which can translate to longer-term occupancy.
Demographic groups that have supported the growth of these concepts include higher-income professionals, often working hybrid schedules, and younger, more health-conscious consumers, which aligns with neighborhoods like Fulton Market and Lincoln Park, where we are seeing more of these businesses locate to be closer to their target consumer. Many of these groups can be flexible in the type of space they occupy. While some Tenants prefer first floor exposure, other Tenants are able to take second or third floor space as many are appointment only. This helps certain brands cut down on their rent obligation while still being in their target submarket. . For example, redevelopment plans for two of the major retail destinations on the Mag Mile, Water Tower Place and 875 N. Michigan, both include medical office space.
As wellness continues to play a greater role in people’s daily routines, we can expect a continued transformation of retail corridors. Places historically dominated by dining and soft goods will become areas that play an ongoing role in the way people support their holistic health, which could be a good prognosis for landlords.