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How to Build a Profitable Bathhouse: MEP, Laundry Throughput, and Dynamic Pricing Explained

StarrCast

Release Date: 09/10/2025

Is Is "New Year New You" The Wrong Approach? An Interview with Jennifer Walsh

StarrCast

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StarrCast

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More Episodes

STARRCAST IS BACK for Season 9! We are thrilled to return to bring you more insights and fresh perspectives to help your spa business thrive!

Thinking about opening a sauna or bathhouse, or scaling the one you’ve got? 

To kick things off, we’re replaying an incredibly informative webinar that unpacks the operating math behind the hydrothermal business: capacity planning, MEP-first (“engine room”) design, admissions-led pricing, and the real bottleneck no one budgets for: laundry throughput. 

Expect candid lessons from operators and designers shaping the U.S. market, including Bathhouse (NYC) and leaders from the Global Wellness Institute initiatives.

You’ll learn how to right-size back-of-house, choose between open-ended admission vs. timed sessions, and design people-flow, so staff can manage more guests with less friction, all while protecting margins and guest experience.

What You’ll Learn:

  • Why bathhouses are surging now: the shift to social wellness, accessible pricing, and admissions-first business models.

  • MEP > “wow rooms”: how an engine-room-first approach (ventilation, filtration/sanitation, drainage, electrical) prevents constant firefighting.

  • Capacity & pricing mechanics: choosing dynamic pricing, timed sessions, or walk-ins based on footprint, software, and throughput.

  • Back-of-house math: planning for ~⅓ non-guest area, with laundry and storage sized to daily towel turns and peak flow.

  • Revenue mix that actually works: admissions as the margin engine, treatments as add-ons, and F&B designed to extend dwell time—not clog operations.

Episode Highlights (Chapters):

  • 00:52 – Why “social wellness” is driving the U.S. sauna/bathhouse wave—and how this model differs from appointment-led spas.

  • 06:18 – The hydrothermal specialist team you need on day one (designer + MEP) and why wet areas blow up naïve $/ft² assumptions.

  • 12:40 – “Start with your engine room”: air changes, filtration, drainage, and electrical that determine guest comfort and uptime.

  • 18:55 – Lessons from Bathhouse NYC: designing around laundry first (thousands of towels/day) and keeping sightlines open to reduce staffing.

  • 25:03 – Admission strategy: open-ended stays with dynamic pricing vs. timed sessions in smaller/hotel footprints—software and UX trade-offs.

  • 33:27 – Lease vs. buy: why most startups lease to preserve capex for fit-out; right-sizing scope and contingency.

  • 41:42 – What really makes money: admissions > treatments; F&B for physiology and community, not margin.

  • 49:58 – Guest norms & flow: no-photo policies, wet-to-dry separation, and the contrast-therapy circuit (hot → cold → rest).

Meet the Guests

  • Don Genders — CEO, Design for Leisure; Chair, GWI Hydrothermal Initiative (global authority on thermal & wet-area design).

  • Lynn Curry — Principal, Curry Spa Consulting; member, GWI Consulting Initiative (concept-to-opening spa development).

  • Travis Talmadge — Co-founder/operator, Bathhouse (NYC: Williamsburg & Flatiron), a high-volume, admissions-led urban bathhouse.

Tools, Frameworks, or Strategies Mentioned:

  • Engine-Room-First Design: lead with MEP (mechanical, electrical, plumbing), ventilation/air changes, filtration, drainage, and storage.

  • Capacity/Throughput Modeling: people-flow tracking, dynamic pricing, and sightlines to manage density with fewer staff.

  • Contrast-Therapy Circuit: hot → cold → rest cycle embedded in layout and wayfinding.

  • CFO Lens for Scope: capex vs. opex trade-offs, contingency, and location-first site selection.

Closing Insight

“We design around the laundry first.” The margin lives or dies in the back-of-house—build the plant right and the guest magic follows. If this episode helped, follow/subscribe and share it with a developer, hotel GM, or wellness entrepreneur planning a hydrothermal project.

 

Looking for expert advice in Spa Consulting, with live training and online learning?

 

Spa Consulting: wynnebusiness.com/spa-management-consulting

Live Training: wynnebusiness.com/live-education

Online Learning: wynnebusiness.com/spa-management-courses

 

Other Links:

Contact Dr. Gerry Bodeker: https://my.linkedin.com/in/gerrybodeker

Contact Trent Munday: https://my.linkedin.com/in/trentmunday

Follow Lisa on LinkedIn: https://www.linkedin.com/in/lisastarrwynnebusiness,

Listen on Apple: https://podcasts.apple.com/at/podcast/starrcast/id1565223226

Listen on Spotify: https://open.spotify.com/show/00tW92ruuwangYoLxR9WDd

 

Watch the StarrCast on YouTube: https://www.youtube.com/@wynnebusiness

Join us on Facebook: facebook.com/wynnebusiness/?ref=bookmarks

Join us on Instagram: instagram.com/wynnebusiness