Bathhouse as a Social Institution: Between Tradition and Commercialization

Over the past five years, the bathhouse industry has experienced rapid economic growth. The average cost per square meter of premises for bathhouses and saunas has increased by 75% (from 29.7 thousand rubles in 2019 to 52.1 thousand rubles in 2023). At the same time, geographic inequality is evident: the most expensive properties are located in the Moscow Region and Krasnodar Krai.

The budgeting situation also appears ambiguous. There is no direct federal funding—responsibility lies with local budgets. The state supports the sector indirectly by subsidizing lost revenues for privileged categories of citizens. The number of purely municipal complexes is decreasing due to unprofitability; hundreds of facilities have been transferred to private investors through public-private partnership mechanisms on the condition that “social days” are preserved. Leadership in the bathhouse sector has shifted from utilitarian needs to the leisure industry. Moscow and the Moscow Region hold the lead in revenue, followed by St. Petersburg and the Volga Federal District. Several “megaprojects” are currently underway. The “thermal boom”: overall, the market for year-round urban resorts has grown by 71%. The largest project is the “Badenland” complex in Yekaterinburg (budget of 4 billion rubles). A development trend has emerged: investors are repurposing former cinema spaces in shopping centers into “urban thermal bath” concepts (budgets ranging from 600 million to 1.5 billion rubles). Country recreation: premium wellness bathhouses are being built in Krasnodar Krai, Altai, and Karelia (budgets from 50 to 200 million rubles). Despite the bathhouse becoming an expensive pleasure, visiting one remains a массовое phenomenon. According to research data, the overwhelming majority of Russians (75%) visit steam rooms for relaxation and leisure, and one in five does so weekly.

Analyzing the current situation, several key trends shaping the future of the industry can be identified. Prospects for private initiative lie in the continued dominance of business, which is transforming the industry into a high-tech leisure sector. By 2027, the bathhouse market is expected to exceed 40 billion rubles. More than 20 new thermal complexes are currently in the design stage. A projected reduction in the key rate of the Central Bank of the Russian Federation will stimulate lending. Investor activity remains high: demand for ready-made bathhouse complexes in Moscow in spring 2026 increased by 46%, while the number of listings grew by 50% year-on-year. The average cost of a ready-made complex in the capital is about 16 million rubles. The profitability of the bathhouse business reaches 20–25%, significantly higher than that of the restaurant industry (~10%). Opening a complex in a region can cost 5 million rubles (construction cost approximately 250 thousand rubles per sq. m), but creating a substantial facility will require about 100 million rubles, and in Moscow—from 50 to 70 million rubles. VIP facilities require investments starting from 0.5 billion rubles. The private sector is actively integrating SPA complexes into residential districts. Demand for professional steam masters (bath attendants) continues to grow. The role of the state will shift from direct asset ownership to regulation. The main survival model will be the transfer of facilities to businesses under long-term lease agreements on the condition of reconstruction (renovation budgets

from 150 to 500 million rubles per facility) and the preservation of “social hours.” The state will maintain support through subsidies and temporary benefits.

The Russian bathhouse industry is “balancing” between market demands and its social function. There is an inevitable shift of bathhouse services into the premium segment, yet there remains an acute social need for affordable complexes. According to analysts, the volume of services provided by bathhouses and saunas in 2025 reached 45.4 billion rubles. In 2025 and early 2026, about 400 new establishments opened across the country. The future of the industry lies in a symbiosis of commercial pragmatism and social responsibility, where private business creates the infrastructure and the state guarantees access to the tradition for every Russian citizen.

Author: Assistant Lecturer at the Department of World Economy and World Finance, Financial University under the Government of the Russian Federation, Anna Vladimirovna Kuznetsova.