Heights Wellness Retreat franchise unit economics
Heights Wellness Retreat is the rebrand of Massage Heights. A membership retreat selling massage, facials and wellness technology services on tiered monthly dues, typically in inline retail space. 97 legacy Massage Heights retreats open the full year averaged $1,090,390 of revenue on an average base of 817 members. 82 of them filed an eighteen-line expense breakdown leaving 19.02% before any pay for the owner. Three retreats carried the new brand by March 2026.
- Primary source
- Elevated Brands Franchising, LLC, 2026 Franchise Disclosure Document
- Items read
- Items 5 and 6 for fees; Item 7 for cost to open; Item 19 for sales and any profit figure; Item 20 for the location count
- Population
- 82 of 98 locations
- Our calculations
- Marked on the page with an asterisk. Method
- Last reviewed
- 26 September 2026
Disclosure-based. Not a forecast, not an offer to sell a franchise, and not advice.
Revenue per member changes little. The top ten retreats collect $1,301.90 a year from each member and the bottom ten collect $1,619.98. What separates a $2.2 million retreat from a $470,000 one is the size of the base (1,727 members against 290) and the number of people walking through the door to become one.
- Annual revenue per member runs $1,301.90 at the top ten retreats and $1,619.98 at the bottom ten. The member bases are 1,727 and 290, and the revenue is $2,248,378 against $469,795.
- Therapist labor and its payroll taxes take 37.49% of revenue; all labor takes 47.87%. The 19.02% that remains sits before any pay for the owner or a retreat director.
- Monthly retention averages 95.3%, which is 21.3 months of member life. The range runs 92.3% to 97.9%, 13.0 months against 47.6.
- The first new-brand retreat collects $155 a month per member against the legacy system's $85. Its two converted retreats collect $86 and $82.
- Franchise fees take 12.5% of revenue at the top ten retreats and 24.3% at the bottom ten. A $60,000 minimum local advertising charge plus $11,940 of technology fee on a smaller base.
How much does a Heights Wellness Retreat franchise make?
The average Heights Wellness Retreat unit reported $1,090,390 of revenue in the 2026 FDD, and the median reported $978,214. The brand’s disclosure document discloses revenue and not profit, so what an owner keeps depends on the cost structure set out below. Fees come off the top first, at about 12% of sales across royalty, brand fund and the rest of the stack. Revenue is not income. Rent, wages, cost of goods and the franchise fees all come out before an owner is paid. The figures for the highest-selling and lowest-selling businesses are below.
Members & revenue
97 retreats: revenue, members, services and prospects.
| Measure | Top 10 | Top half (48) | Bottom half (49) | Bottom 10 | All 97 |
|---|---|---|---|---|---|
| Average revenue | $2,248,378 | $1,463,917 | $724,486 | $469,795 | $1,090,390 |
| Median revenue | $2,184,065 | $1,314,810 | $754,266 | $481,577 | $978,214 |
| Highest / lowest revenue | $2,837,192 / $1,746,460 | $2,837,192 / $1,025,937 | $978,214 / $405,638 | $500,493 / $405,638 | $2,837,192 / $405,638 |
| Average member base | 1,727 | 1,132 | 519 | 290 | 817 |
| Average annual services | 22,722 | 15,202 | 7,775 | 5,218 | 11,450 |
| Average annual prospects | 3,980 | 2,619 | 1,323 | 869 | 1,964 |
| Revenue per member | $1,301.90 | $1,293.21 | $1,395.93 | $1,619.98 | $1,334.63 |
| Revenue per service | $98.95 | $96.30 | $93.18 | $90.03 | $95.23 |
| Services per member a year | 13.16 | 13.43 | 14.98 | 17.99 | 14.01 |
| Members as a share of prospects | 43.4% | 43.2% | 39.2% | 33.4% | 41.6% |
The revenue, member, service and prospect rows are as the brand reported it; the last four rows are marked. Dividing those filed averages by each other.
The bottom ten retreats extract more from each member than the top ten do. $1,619.98 a year against $1,301.90, on 17.99 services a member against 13.16. They are working their smaller base harder and charging a lower price per service, $90.03 against $98.95, and it still leaves them $1,778,583 behind on revenue. Whatever is wrong at a $470,000 retreat, it is a member-count problem.
The top ten hold 1,727 members and the bottom ten hold 290. Six times the base. Behind it: 3,980 prospects a year against 869, a 4.6 times gap, converted at 43.4% against 33.4%.
Every retreat in the system bills between $90.03 and $98.95 a service. A range of $8.92 across the whole distribution, on service counts from 5,218 to 22,722 a year. Price is effectively fixed here; volume is everything. Moving the bottom-half retreat from 7,775 services to the system's 11,450 is worth $342,436 at its own rate.
The median retreat bills $978,214 against a mean of $1,090,390. 40 of 97 reach the average. The system low is $405,638 and the high is $2,837,192. The two halves meet at a boundary where the bottom half's ceiling ($978,214) is exactly the system median. So half the network sits under a million dollars of revenue.
Retention.
| Measure | Monthly retention | Months a member stays |
|---|---|---|
| System average | 95.3% | 21.3 |
| Median retreat | 95.2% | 20.8 |
| Highest | 97.9% | 47.6 |
| Lowest | 92.3% | 13.0 |
Retention is as the brand reported it; the months column is marked. Taking the reciprocal of the monthly loss rate, which assumes the rate holds steady. 47 of the 97 retreats met or exceeded the system average.
5.6 points of retention is the difference between 13 months and 47.6. 92.3% against 97.9%, and on the system's $1,334.63 of annual revenue per member, that is $1,446 of lifetime value against $5,294. The same member, the same price list, three and a half times the value, decided by whether they come back.
At 95.3% the average retreat replaces its entire member base every 21 months. On 817 members that is 38 cancellations a month to stand still, against 1,964 prospects a year, about 164 a month, converting at 41.6%, or 68 new members. The machine runs at roughly two new members for every one lost, and that margin is what growth is made of.
Top performers
What separates the top Heights Wellness Retreat performers
Heights Wellness Retreat splits its locations into groups instead of publishing one average. The best group averaged $2,248,378 a year. The worst averaged $469,795. Both run the same brand, on the same agreement, paying the same fees. The middle location sold $978,214. The average was $1,090,390. More than half the system is below the number the brand quotes.
Decided before you open
- Trade area and site.A 4.8× gap between bands is not an operating gap. Catchment, daytime population and what sits next door set the ceiling before the first customer arrives.
- Capacity, fixed at build.capacity is 73 studio floor multiplied by hours multiplied by how full they run. What you can sell is set by the build, and the build does not change after opening.
- Territory, and how much of it is real.This model sells from a territory rather than a building. Two owners with the same brand and different ground are running different businesses, and density decides how much driving sits between jobs.
- What you spend to open.Opening costs $935,895 to $1,466,168, a 1.6× range inside one brand. The high end usually buys more capacity, so the cheapest build is not always the cheapest route to the top band.
- Lease economics.Occupancy cost ran 11.3% of sales in this filing. The rent does not fall when sales do, so the same lease is a far heavier line at the bottom of the system than at the top. That is how a weak site compounds into a weak profit line.
Live operating levers
- Occupancy, the line that does not flex.Rent and building costs take 11.3% of sales. Sales per square foot and the hours the space is earning are the only two ways to move it, since the rent itself is fixed at signing.
- Members, the operating driver.This model bills on members. The owner watches how many people join, how many cancel, and what a member spends beyond the plan. It is worth watching every week, because by the time it turns up in a monthly close the quarter is half gone.
- Service and retail mix.Attachment rate on retail, and the share of customers on the higher service tiers, lift what each hour earns without adding an hour or a room. It is the only lever that raises the ceiling without spending capital.
- Fees, and where the minimum bites.Fees run about 12.0% of sales. A minimum sits underneath the percentage, so the low-volume location pays the higher effective rate. The brand charges the weakest locations the most. Work out the sales level where the percentage overtakes the minimum and know which side of it you are on, because the answer changes what an extra dollar of sales is worth.
- The first year.This filing shows how a new location builds up, so the ramp can be underwritten from the document rather than assumed. Read two things out of it: the month sales cross the point where costs are covered, and how much cash you fund before that month arrives. Everything before break-even is paid for by you.
Context you underwrite around
- The reporting screen.82 of 98 locations are behind these figures. Locations open less than the full year, brand-owned, or not meeting the reporting criteria are excluded, so the numbers describe locations that cleared that screen, not the system as a whole.
- What the disclosure leaves out.Item 19 publishes no profit or cost data for franchised locations. Anything below the sales line has to come from the franchisor or from owners you call.
Profit and loss
Eighteen expense lines across 82 retreats.
| Expense | Aggregate | Share of revenue |
|---|---|---|
| Therapist labor and commission | $31,648,656 | 33.47% |
| Rent | $10,656,771 | 11.27% |
| Lifestyle consultant labor | $8,607,300 | 9.10% |
| Royalties | $5,746,692 | 6.08% |
| Therapist payroll taxes | $3,800,120 | 4.02% |
| Credit card processing | $2,575,307 | 2.72% |
| Brand fund | $2,139,149 | 2.26% |
| Operational product | $1,920,167 | 2.03% |
| Local store marketing | $1,915,728 | 2.03% |
| Insurance | $1,758,617 | 1.86% |
| Supplies | $1,018,917 | 1.08% |
| Utilities | $1,018,177 | 1.08% |
| Professional fees | $872,236 | 0.92% |
| Lifestyle consultant payroll taxes | $846,712 | 0.90% |
| Computer and technology license | $669,321 | 0.74% |
| Repair and maintenance | $615,254 | 0.65% |
| Retail product | $367,257 | 0.39% |
| Front desk commissions | $363,890 | 0.38% |
| Total expenses | $76,540,271 | 80.98% |
| Net operating profit before owner compensation | $18,018,191 | 19.02% |
As the brand reported it, reordered by size; the dollar total and profit figures are marked *, summing the filed aggregates.
Therapist labor, commission and payroll taxes are 37.49% of revenue. $35,448,776 of the $94,558,462. Add lifestyle consultants at 10.00% and front desk commissions at 0.38% and all labor is 47.87% ($45,266,678) before the owner or a director is paid anything. In a business where price per service moves $8.92 across the whole system, the schedule is the only lever with real travel in it.
Rent is 11.27% of revenue and it is the second largest line. $10,656,771 across 82 retreats, or $129,961 each. At the bottom ten's average revenue of $469,795 that same rent would be 27.7%. That is most of the reason a retreat at that level struggles to reach the 19.02%.
The brand's own lines (royalties, brand fund and technology license) total 9.08% of revenue. $8,555,162. That is more than insurance, supplies, utilities, professional fees, repairs, retail product and front desk commissions put together, which come to 6.36%. The brand fund shows 2.26% against a stated 3% requirement, and local store marketing shows 2.03% against a minimum of $5,000 a month.
Credit card processing is 2.72% of revenue, $2,575,307. For a business collecting monthly dues by card from 817 members a retreat, that is a rate worth challenging. A quarter of a point across this group is $236,396 a year. It takes one conversation with a processor.
19.02% before owner pay is the honest headline, and the word “before” is load-bearing. On the all-97 average revenue of $1,090,390 that is $207,392, out of which an absentee owner pays a retreat director, and an owner-operator pays themselves. Director labor sits outside these expense lines.
Fees and what it costs to open
What the fees come to. (Items 5 and 6)
| Revenue level | Revenue | Royalty 6% | Brand fund 3% | Local advertising | Technology | Total | Share |
|---|---|---|---|---|---|---|---|
| Top 10 average | $2,248,378 | $134,903 | $67,451 | $67,451 | $11,940 | $281,745 | 12.5% |
| Top half average | $1,463,917 | $87,835 | $43,918 | $60,000 | $11,940 | $203,693 | 13.9% |
| All 97, average | $1,090,390 | $65,423 | $32,712 | $60,000 | $11,940 | $170,075 | 15.6% |
| All 97, median | $978,214 | $58,693 | $29,346 | $60,000 | $11,940 | $159,979 | 16.4% |
| Bottom half average | $724,486 | $43,469 | $21,735 | $60,000 | $11,940 | $137,144 | 18.9% |
| Bottom 10 average | $469,795 | $28,188 | $14,094 | $60,000 | $11,940 | $114,222 | 24.3% |
| Lowest retreat disclosed | $405,638 | $24,338 | $12,169 | $60,000 | $11,940 | $108,447 | 26.7% |
Ours, applying the filed schedule: a 6% royalty billed fortnightly on the previous month's sales. A brand fund contribution of 3%, starting in the ninth month after opening and able to rise to 4%. A local advertising payment of the greater of 3% of sales or $5,000 a month. Of that, at least $5,000 must go to a local digital program and any shortfall is payable to the franchisor for the brand fund. And the technology fee at its current $995 a month, which may rise by at least 3% a year.
How we calculated this
3% overtakes the $60,000 minimum at $2,000,000 of revenue, so every retreat below that pays the minimum.
The load is 12.5% of revenue at the top ten and 24.3% at the bottom ten. Nearly twelve points of penalty for being small. Almost all of it is the $60,000 minimum advertising charge plus $11,940 of technology fee landing on a smaller base. At the lowest retreat in the system, billing $405,638, those two fixed items alone are 17.7% of revenue.
Only two retreats in the whole system would pay local advertising on the percentage. 3% overtakes $60,000 at $2,000,000 of revenue, and the system high is $2,837,192. Everyone else pays a flat $60,000, which on the filed expense summary is why local store marketing shows 2.03% of revenue against a requirement that works out nearer 5.5% at the average retreat.
Royalty is billed fortnightly on the previous month's revenue. Twenty-six debits a year, which on the average retreat is $3,774 a fortnight of royalty and brand fund. Any month-to-month operation after a missed renewal has a point more on each.
What it costs to open.
| Line | Low | High |
|---|---|---|
| Building work | $213,500 | $607,500 |
| Therapy technology | $276,960 | $281,576 |
| Furniture, fixtures and equipment | $167,437 | $203,465 |
| Technology system | $59,812 | $64,966 |
| Initial advertising program | $40,000 | $60,000 |
| Initial franchise fee | $39,500 | $59,500 |
| Professional fees | $36,500 | $43,500 |
| Signage | $19,620 | $26,882 |
| Opening inventory and supplies | $19,245 | $21,496 |
| Software fees, training, facial supplies, deposits, licenses | $20,316 | $31,958 |
| Additional funds, three months | $43,005 | $65,325 |
| Total | $935,895 | $1,466,168 |
As the brand reported it, except one grouped line. Is marked *: software fees with initial training expenses, facial services expenses, utility and security deposits and business licenses and permits.
Therapy technology is $276,960 to $281,576, a fixed line worth 29.6% of the low total. It changes littlebetween the low and high estimates, unlike building work which swing $394,000. So the wellness technology that justifies $155 of monthly dues is bought at very nearly the same price whatever kind of space you take. It has to be earning from day one.
The initial advertising program is $40,000 to $60,000, paid to the franchisor when construction plans are submitted. It covers marketing before opening and the first 30 days after. Porter Ranch began pre-selling 105 days before it opened and had 494 membership agreements executed by its fourth month. Is what that money is for. The three pre-sales retreats reached 138, 87 and 34 at the same stage.
Three months of additional funds is $43,005 to $65,325. Against a fourth month of $77,103 at the only new-build retreat with disclosed results, and a legacy system average of $90,866 a month. Porter Ranch turned $28,892 in its first 30 days, 32% of system average. So the reserve funds the gap for one quarter of a ramp that has yet to be measured over a full year.
What territory you get.
The territory is generally a 1.5-mile radius, and it is non-exclusive. The franchisor agrees to keep its own and other franchisees' retreats outside that circle for the term. Stating plainly that you receive zero exclusive territory and may face competition from other franchisees, franchisor outlets and competitive brands it controls. The radius may be larger or smaller at the franchisor's sole discretion.
You must honor other retreats' members at zero additional charge. The franchise agreement requires it, with settlement between retreats handled under the brand standards manual, which the franchisor may change. On a business where each member is worth $1,334.63 a year, that reciprocity arrangement is worth reading closely. It decides who books the revenue when a member of a neighboring retreat uses your treatment room.
The franchisor may require you to relocate on renewal. Relocation otherwise needs prior written approval under its then-current site selection policies. Set against building work of $213,500 to $607,500 and therapy technology of $276,960, the renewal terms and the lease terms need reading together.
The network of locations.
| Year | MH start | Opened | Terminated | Left other ways | MH end | HWR | Total | Transfers |
|---|---|---|---|---|---|---|---|---|
| 2023 | 102 | 5 | 3 | 1 | 103 | 0 | 104 | 10 |
| 2024 | 103 | 1 | 3 | 0 | 101 | 0 | 102 | 8 |
| 2025 | 101 | 1 | 4 | 1 | 97 | 1 | 98 | 14 |
As the brand reported it.
The legacy network went from 102 retreats to 97 across three years. Seven openings against ten terminations and two non-renewals. Openings fell to one a year in 2024 and 2025 while terminations held at three, three and four. So the pipeline stopped before the departures did. The rebrand arrives into a system that has been shrinking for two years.
14 retreats changed hands in 2025, on a 97-retreat network. 14.4% of the system in a single year, after 10 and 8 in the two years before, including 5 in Iowa and 4 in Texas. That is a lot of ownership turnover, and it makes existing-retreat purchase a realistic route in.
The new brand
Three retreats have the new brand.
| Location | Market | Type | Pre-sales began | Opened | Memberships sold | Wellness tech services | Total services |
|---|---|---|---|---|---|---|---|
| Porter Ranch | Los Angeles | New build | 1 Aug 2025 | 14 Nov 2025 | 494 | 6,014 | 7,364 |
| Friendswood | Houston | Conversion | 1 Oct 2025 | 14 Jan 2026 | 143 | 956 | 3,062 |
| Gunbarrel | Chattanooga | Conversion | 1 Dec 2025 | 28 Jan 2026 | 219 | 795 | 2,387 |
| Holly Springs | Raleigh | New build, pre-sales | 12 Dec 2025 | Q2 2026 | 138 | n/a | n/a |
| UnCommons | Las Vegas | New build, pre-sales | 17 Feb 2026 | Q2 2026 | 87 | n/a | n/a |
| Cypress Waters | Dallas | New build, pre-sales | 10 Feb 2026 | Q2 2026 | 34 | n/a | n/a |
As the brand reported it.
| Measure | Legacy system | Porter Ranch | Gunbarrel | Friendswood |
|---|---|---|---|---|
| Average monthly dues | about $85 | $155 | $86 | $82 |
| Monthly retention | 95.3% | 93.0% | 94.69% | 96.7% |
| Membership tiers | Single tier | Multiple tiered paths, wellness technology in selected tiers | ||
As the brand reported it, at February 2026 for the three new-brand locations and 2025 for the legacy system.
The $155 of monthly dues belongs to one retreat, and the two conversions sit at $86 and $82. Against a legacy system average of about $85. So the near-doubling of dues has appeared at the new build in Los Angeles and has yet to appear at either converted location. Is the single most important line on this page for an existing owner weighing a conversion.
| Measure | 30 days | 60 days | 90 days | 120 days | Legacy system average |
|---|---|---|---|---|---|
| Gross monthly revenue | $28,892 | $49,051 | $60,298 | $77,103 | $90,866 |
| Active member base | 121 | 177 | 238 | 286 | 817 |
| Net new members added | 90 | 56 | 61 | 48 | n/a |
| Memberships sold | 123 | 88 | 130 | 122 | n/a |
| Monthly retention | 97.43% | 97.5% | 86.6% | 90.2% | 95.3% |
| Average monthly dues per member | $155 | $161 | $155 | $155 | about $85 |
| Prospect to member conversion | 43.9% | 28.4% | 25.5% | 27.0% | 41.6% |
| Revenue per treatment room | $2,408 | $4,088 | $5,025 | $6,425 | about $7,572 |
| Service units performed | 927 | 1,449 | 2,146 | 2,686 | about 954 |
As the brand reported it, covering 14 November 2025 to 13 March 2026.
Porter Ranch reached 85% of the legacy system's monthly revenue in its fourth month. $77,103 against $90,866, on 286 members against 817. It gets there on dues of $155 against $85, so a third of the member base produces five-sixths of the revenue. That is the whole thesis of the rebrand, demonstrated at exactly one location.
Retention fell from 97.5% to 86.6% between month two and month three. Then recovered to 90.2%, averaging 93.0% across the four months against the legacy system's 95.3%. Conversion moved the same way: 43.9% in the first month, then 28.4%, 25.5% and 27.0%. Early pre-sale enthusiasm converts at nearly double the steady-state rate, and a plan built on the opening month's numbers will miss.
The Friendswood conversion added 16.8% of revenue in its first month under the new brand. $71,094 in February 2025 against $83,033 in February 2026. Members moving from about 704 to 746, retention from about 95% to 96.7% and labor from about 28% of revenue to 29.3%. The prior-year figures are the franchisor's estimates from internal reporting, and this is one location in one market.
Questions we get asked
Questions owners ask.
What should a retreat be billing?
The 97 legacy retreats open 12 months or longer averaged $1,090,390 of revenue in 2025 with a median of $978,214, ranging from $405,638 to $2,837,192. The top ten averaged $2,248,378 and the bottom ten $469,795. Average member bases were 1,727 and 290 against a system average of 817, on annual services of 22,722 and 5,218 against 11,450. 40 of 97 retreats beat the system average.
What does the cost structure look like?
Across 82 retreats on $94,558,462 of revenue, costs run. Therapist labor and commission 33.47%, rent 11.27%, lifestyle consultant labor 9.10%, royalties 6.08%, therapist payroll taxes 4.02%, credit card processing 2.72%, brand fund 2.26%, operational product 2.03%, local store marketing 2.03%, insurance 1.86%, supplies 1.08%, utilities 1.08%, professional fees 0.92%, lifestyle consultant payroll taxes 0.90%, computer and technology license 0.74%, repairs 0.65%, retail product 0.39% and front desk commissions 0.38%, 80.98% in all, leaving 19.02%. That 19.02% comes before any owner pay and before retreat director labor, which sits outside these lines entirely.
What does the brand cost in total?
A 6% royalty billed fortnightly, a 3% brand fund contribution starting in the ninth month with a 4% ceiling, a local advertising payment of the greater of 3% of revenue or $5,000 a month. A $995 monthly technology fee that may rise at least 3% a year. That works out at 12.5% of revenue at the top ten's volume, 15.6% at the system average and 24.3% at the bottom ten's. Opening a new build costs $935,895 to $1,466,168, of which therapy technology alone is $276,960 to $281,576.
How much is a member worth?
$1,334.63 a year across the 97 retreats, on 14.01 services a year at $95.23 each. The figure is strikingly flat across the distribution ($1,301.90 at the top ten and $1,619.98 at the bottom ten) so retreat size is a function of member count. At the system's 95.3% monthly retention, a member stays 21.3 months. Is $2,369 of lifetime revenue. At the best retreat's 97.9% it is 47.6 months and $5,294. At the worst retreat's 92.3% it is 13.0 months and $1,446.
Who does bookkeeping for a Heights Wellness Retreat franchise?
This is a subscription business with a treatment room attached, and the close should read like one. Three things matter here more than in most spa models. Deferred revenue: dues are collected monthly and services are consumed later, so memberships sold, active member base and net new members stay three separate numbers. They move independently and only one of them predicts cash. Inter-retreat reciprocity: you must honor other retreats’ members at zero charge, with settlement run through the brand standards manual. So revenue attribution needs reconciling to that settlement. And the profit line: the 19.02% benchmark excludes retreat director labor and all owner compensation. So recut your own statement the same way before the comparison means anything. Add a fortnightly royalty on the prior month’s revenue and a fixed $60,000 local advertising obligation, and the cash calendar wants building deliberately. Averan provides bookkeeping, controller, and fractional CFO support for franchise owners and has Certified QuickBooks ProAdvisors on the team.
- No profit figure. The filing reports sales and not earnings, so what an owner keeps is not disclosed.
Questions worth putting to Heights Wellness Retreat
The filing answers what it answers. These are the gaps an owner or a buyer should close directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- What separates the highest-selling locations from the lowest: trade area, years open, size, or the owner?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Heights Wellness Retreat locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Finance Diagnostic runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. Checks whether you are ready to open another one. It is free and it runs in your browser.
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