How to Open a Gym in Victoria (2026): Permits, Costs & Timelines
How to Open a Gym in Victoria (2026): Permits, Costs & Timelines
The short answer
To open a gym in Victoria you usually need a planning permit for the land use (a gym is treated as an indoor recreation facility, which is a permit-required use in most zones), a building permit for any fit-out or change of use, and a new occupancy permit before you trade. You then register your business (ABN, and a company through ASIC if you use one), arrange public liability and other insurance, and confirm any council health registration if you add food or a pool. Always confirm the exact permit triggers for your specific site with your local council before you sign a lease.
Below is a founder-focused walkthrough of the Victoria-specific approvals, plus realistic costs and timelines. For the national picture, pair this with our complete guide to opening a gym in Australia.
Step 1: Confirm zoning and whether a planning permit is required
Every property in Victoria sits in a planning zone, and the zone determines what you can do with the land. Council approval starts here. The zone sets out which uses need a planning permit, which are prohibited, and which can occur without one. You can check your property's zone free on VicPlan.
A gym is defined under the Victoria Planning Provisions as an indoor recreation facility. Clause 73.03 defines an indoor recreation facility as a building used for indoor leisure, recreation or sport. In practice, an indoor recreation facility is usually a Section 2 use in the zone, meaning a planning permit is required to lawfully operate.
A crucial Victoria rule: it is your responsibility to work this out before you commit. Each council has its own planning scheme, permit requirements vary between councils, and it is up to you to find out whether a permit is required before you change the use of your land. Do not assume a gym down the road proves your site is compliant, because that operator may have a different zone or a legacy approval.
Book a pre-application meeting
Before you decide on premises, talk to the council planner. Most councils want you to speak with them before you make decisions about your premises, and a pre-application meeting lets you flag concerns like parking and amenity early. Common issues councils raise for gyms include car parking demand, operating hours, patron capacity and noise near residential neighbours.
Step 2: VicSmart or a standard planning permit
Victoria has a fast-track stream called VicSmart. The VicSmart process assesses straightforward applications that are consistent with the area's policy and zoning, with fewer steps and shorter statutory timeframes than the regular process. However, to qualify, your proposal must be listed as a VicSmart class in the relevant planning scheme, meet all the eligibility criteria and sit in the specified zone or overlay. A change of use to a gym is often assessed through the standard process, so treat VicSmart as a possibility, not a guarantee, and ask your planner which stream applies.
Be aware of objections. Neighbours can object to a planning application and can take a matter to VCAT for review, even where the council supports the application, which is one reason loud, high-traffic gyms are better suited to commercial and industrial areas than sites hard against homes.
Step 3: Building permit and occupancy permit
Planning approval covers the use. A separate building permit covers the physical works. You generally need a building permit if you are changing the use of a building, for example turning an office into a gym, or making structural changes, or altering safety features such as exit signs, emergency lighting and sprinklers, or changing the path of travel through the building.
Then comes the occupancy permit, which is easy to overlook. Once the building work is finalised and inspected, a new occupancy permit must be issued confirming the new use and building classification. An occupancy permit confirms a building surveyor is satisfied the building is safe and suitable to occupy, and only a registered building surveyor may issue one. Getting your classification changed to reflect gym use is what makes trading lawful.
Step 4: Business registration, insurance and industry compliance
There is no specific fitness licence in Australia the way there is a liquor licence. You register an ABN through the Australian Business Register, and an ACN with ASIC if you operate as a company, and there is no standalone gym operating licence at the federal or state level. Sensible baseline cover includes public liability, professional indemnity and equipment insurance, and some landlords require proof of public liability insurance as a condition of the lease.
Victoria-specific compliance to confirm: Consumer Affairs Victoria oversees membership contracts and cooling-off arrangements, WorkSafe Victoria covers workplace safety, and the AUSactive National Code of Practice sets industry standards for memberships and consumer protection. If you add food, a pool or a sauna, expect extra council steps. Food safety registration is required if you plan to serve or sell food, and in Victoria the Building Regulations set safety requirements for pools. If you run classes with recorded music, you will also need an APRA AMCOS licence. Confirm employment, tax and insurance obligations with your accountant, broker and lawyer.
Victoria approvals at a glance
| Approval | Who issues it | When it usually applies to a gym |
|---|---|---|
| Planning permit (use) | Local council (or CEO under VicSmart) | Almost always, as a gym is a permit-required use in most zones |
| Building permit | Registered building surveyor | Change of use plus most fit-out and structural works |
| Occupancy permit | Registered building surveyor | Before trading, confirming the new use and classification |
| Food safety registration | Council environmental health | Only if you sell or serve food |
| ABN / ACN | ABR / ASIC | Every gym business |
| Insurance | Insurer / broker | Every gym; public liability is essential |
What it costs and how long it takes
Approvals aside, the two big-ticket items are your lease and your fit-out. Based on VERVE's published fit-out data across real delivered projects over the twelve months to July 2026, the median equipment spend is about $27,500 ex GST, with the average just over $40,000. Full builds typically run $50,000 to $200,000 for a 150 to 400 sqm space, roughly $300 to $600 per sqm. You can dig into the numbers in our Australian gym fit-out cost data study and our cost to open a gym guide.
On timelines, again based on VERVE's published fit-out data, founder projects move from first design to deposit in about 3 to 10 weeks, and from a signed lease to open doors in about 8 to 16 weeks. Victorian planning approval sits alongside this and can extend the front end, especially where objections or a car parking assessment are involved, so start the council conversation early. See our fit-out timeline breakdown for what happens week by week.
| Stage | Indicative timeframe | Notes |
|---|---|---|
| Design to deposit | 3 to 10 weeks | Based on VERVE's published fit-out data |
| Planning permit | Variable | Faster under VicSmart if eligible; longer if objections arise |
| Signed lease to open doors | 8 to 16 weeks | Based on VERVE's published fit-out data |
Practical tips for VIC founders
- Make any lease conditional on obtaining planning and building approval, so you are not paying rent on a site you cannot legally use.
- Check for overlays. Overlays such as a Heritage Overlay or Design and Development Overlay add controls that can restrict alterations and your layout.
- Model your numbers before you commit with a proper business plan and break-even analysis, and use our free founder planning tools.
- Get the layout right early. A smart plan for flooring, zones and equipment saves money and rework; see our fit-out and equipment guide.
- If you are planning an outdoor or hybrid training area, browse Open Gear and our Open Ready range.
Once you have a shortlisted Victorian site, VERVE's free 2D and 3D gym design and fit-out service can turn your floor plan into a costed, buildable layout so you can brief your surveyor and council with confidence.
Getting the approvals right
The single biggest mistake Victorian founders make is signing a lease before confirming the site can lawfully be used as a gym. Sequence it the other way: check zoning, meet the council planner, confirm your planning, building and occupancy permit path, then commit. Financing the equipment can wait too; see our guide to gym equipment finance. This article is general information only, so confirm your specifics with your council, broker, accountant and lawyer.