I know you asked about the paneling, but I am wondering if you considered "treating" the top part of the walls? I'd mirror your entire space--from ceiling to paneling! It will make it more gym like and put you in a "gym" mindset:).

Thanks for the idea.
I did think about doing that but I think it’s quite expensive.
Appreciate your help though!

Whatever is on the walls. White chocolate - paint the wood.

Yes painting the wood for sure but wasn’t sure whether to go light paint or dark.
Thanks for commenting

Was hoping to just use primer and paint but will look into this.

You have to prep the walls properly as decoenthusiaste suggested or the paint will not hold. Fill all the holes, etc. Sand lightly to remove the sheen using 150 grit paper.

Prime with a stain-blocking primer or use an oil-based primer and it should dry per manufacture specs before applying paint and apply 2 coats, let it dry in between.

Okay thanks for the great advice, I appreciate your time.

Certainly not dark in a gym or basement.All the prep is the most important step, I didn’t sand mine but used a good primer after cleaning really well. You do not have to use stinky oil based anything. As for the actual space you need a mirror somewhere for working with weights .I like a TV in the space for when I am on the treadmill and maybe a nice light grayed green on the pannelling if you want a color or just the same as the trim would also work add some inspiration art for color and enjoy.

Thanks I am going to spend time on the prep so I only have to do it once.
I think I am going to paint it all light like you suggest so that the space looks bright since it is in the basement.
Once I’m done I will get a mirror or two and add some great artwork.
Thanks do much for your advice.

I would either paint the paneling the same color as your upstairs trim, so you have some consistency and choose a light wall color that works with it, or paint the paneling and wall one color - something light that works with the carpet. With low ceilings, you don't need the paneling breaking up the space.

Yes I do want it to look consistent since the whole house is done in that trim colour.
I wanted to go with a very light grey but it will clash with the trim colour.
Might just go with something light that compliments the trim and carpet.
Yes the ceiling is very low, not ideal but it’s an old house.
Really appreciate your input on the colours!
Just the advice I was looking for.

Done!
Thanks for all your advice.

looks so much better. good work

Thanks!