How to Pick the Best Location for a Laundromat

From commercial washers and dryers to customer service, many factors determine the success of a laundry business. But one element—the laundromat's location—is significantly impactful. This is one of the top considerations when opening a laundromat because it can make or break your business.

To pick the best location for a laundromat, consider the area demographics and safety, plus the site infrastructure, access, customer appeal, and competition. It's not a small decision, but with this guide from industry experts at Martin-Ray, you can determine where the best place is to open a laundromat in your city.

Understanding Laundromat Customer Demographics

According to laundromat industry statistics, almost 90% of your core demographic lives within a mile of your business. When evaluating the site’s fit, you should gather information on the area and compare it to ideal laundromat demographics, which include an area populated with:

Renters and students (likely to lack in-home laundry)
Key groups of other typical laundromat customers, such as seniors, travelers, and residents in apartments, condos, mobile homes, and families, indicate a steady demand for a diverse mix of services
Average households with two or more members and preferably families, require larger volumes and more frequent laundry needs
At least half of the surrounding households earn less than $40,000 per year and are unlikely to own laundry machines

Keeping people’s preferred distance in mind, the best location to open a laundromat is within a one-mile radius of housing complexes with lower-income families or renters with limited access to washers and dryers.

What Makes a Good Laundromat Neighborhood?

An urban environment that’s densely populated (ideally 20,000 people or more per square mile) and is home to at least 25% renters, with a rich selection of grocery, retail, and convenience stores, can indicate a good neighborhood with a healthy customer base for laundromats.

Evaluating Laundromat Site Characteristics

Not only will opening a laundromat business in the right area make your venture more feasible, but it can also draw in the right clientele, so it’s profitable, too. A good laundromat location has satisfactory street appeal, but a great site hits high marks in many other aspects, including:

Building Infrastructure and Zoning

Laundromats can be the most profitable in locations where the building infrastructure features adequate plumbing and electrical systems for modern, high-efficiency machines. Updated commercial washers and dryers can help reduce overhead utility costs, attract customers, and limit downtime caused by outdated or worn equipment.

Laundromats typically require commercial or mixed-use zoning because they are commercial enterprises, but the exact classifications depend on local restrictions. If you’re building a new laundromat, zoning and infrastructure are two critical factors that determine where you can put the new facility according to local codes. Seek guidance from an industry expert or ask city officials about a specific site to make an informed decision.

Accessibility and Traffic

A great laundromat location is on a main roadway, highly visible, and has plenty of parking with easy access. Grocery, convenience, auto parts, and check-cashing stores make excellent neighbors for laundromats wishing to be in convenient areas with high-volume traffic.

Your location decision can’t only consider exterior accessibility and traffic. You’ll need to look for a building with a floor plan that accommodates machines, folding tables, and amenities, plus a high customer volume. If you’re unsure of a location’s potential, speak to a laundromat design consultant.

Safety and Security

Safety and security should also be at the forefront of your mind when opening a laundromat business. The best location for a laundromat will be in a clear, well-lit area to deter theft and help customers feel welcome. When you evaluate the exterior, pay attention to landscaping, fencing, and lighting. It’s also a good idea to gather local crime statistics from police and online resources to understand any of the area’s potential security risks.

Room for Business Growth and Expansion

Another key factor to consider is your long-term goals for the facility. While shopping centers and mini-malls may have plenty of parking and customer appeal, these locations may not support your business’s potential for growth. A free-standing building could allow you the freedom to upgrade and expand your floor plan, but it may lack the added security and foot traffic that comes with having attached neighbors.

Analyzing The Surrounding Competition

As you consider where the best place is to open a laundromat, you’ll need to think about the competition. You’ll want a site that keeps you within a short distance of rentals and student housing, ideal laundromat demographics, but isn’t too near a competing store.

You also need to evaluate which services customers want and which gaps in the area’s offerings you can capitalize on. Visit laundromats, on-premises and multi-housing laundry facilities, and even dry cleaners, to know what you’re up against. Without being conspicuous, take note of these facility features:

Amenities (vending, payment systems, and entertainment)
Pricing for self-service machines
Services (wash-and-fold, delivery, and the target clientele)
Equipment (age and condition, brands, and how many machines)
Peak service times and hours
Perks, such as loyalty programs

If you do decide to open a laundromat in the area, understanding the competition will help you effectively market your laundry facility and find your niche.

Enlist Expert Help in Finding the Right Location

We understand that selecting a location for a new or existing laundromat can be a daunting task. If you’re new to the business, partnering with a laundry distributor like Martin-Ray Laundry Systems can help get you off to a good start. Our experts assist with machine selection, installation, and routine maintenance to get your business up and running, and keep it that way.

Count on Martin-Ray for sales and service in the Colorado, New Mexico, Wyoming, west Texas, and western Nebraska areas. We’ll also happily refer any owner nationwide to our EVI Industries affiliates. Ready to get started selecting a site and designing your dream laundry business? Contact us today.