The Gym Group is planning new sites and is delighted with a “favorable” real estate market
he real estate market is the most “favorable” that the Gym group has seen since its inception more than ten years ago, the chain said as it planned to open 40 additional branches.
The budget fitness channel announced the target as it showed how Covid-19 lockdowns hammered trade in the six months leading up to June, with revenues 21.4% lower at £ 29.3million sterling.
He recorded a pre-tax loss of £ 28.5million, similar to the same period a year earlier.
But the company has seen a “strong recovery” in membership numbers since the gym sector was able to reopen after the last lockdown in England in April.
The Gym Group wants to increase the size of its domain to nearly 230 locations by the end of 2022. Centers due to launch in the capital this year include Caledonian Road and Staples Corner Shopping Park.
Managing Director Richard Darwin told The Evening Standard that the company had seen examples of lower rents “for very attractive locations.”
The Gym Group said: “The current real estate market is the most favorable that we have seen in the 12 years of existence of this company. As a large number of retailers focus on their online operations and other retailers go through CVA’s, we see ourselves being offered high quality sites, especially on business parks, at commercial rents that s fit well into our economic model.
In June, the cabinet had 730,000 members, against 547,000 at the end of February, but below the 794,000 registered before Covid in December 2019.