Orange County’s cluster of fitness chains pumped up their sales last year, according to data from trade publication Club Industry.
Irvine-based LA Fitness once again topped the publication’s annual list of the 100 biggest health clubs in the U.S., released last week.
Four other OC-based chains also cracked the list, including three owned by one firm.
LA Fitness ranked first on the list for the sixth straight year with $2.1 billion in estimated revenue in 2018, the newsletter said, citing unidentified industry sources.
That’s a 10% boost over the Business Journal’s 2017 estimate for the company—whose corporate name is Fitness International LLC. It ranks No. 13 among OC’s largest private companies by revenues.
The company, co-founded by Louis Welch, Chinyol Yi and Paul Norris in 1984, has more than 600 locations and nearly 4 million members, according to Seidler Equity Partners, a Los Angeles-based private equity firm that’s one of LA Fitness’ largest financial backers.
It’s been adding different types of specialized, subscription-type fitness classes to its facilities the past year, including a Pilates and high-intensity cardio offering.
LA Fitness, which is notoriously press shy, didn’t return messages for comment on its latest rankings.
About 1,100 of the company’s 24,000 employees work in Orange County, according to Business Journal data.
It has 16 locations in OC, including its flagship property at Irvine’s Park Place campus.
One of the local properties it leases, a 41,000-square-foot building just off Jamboree Road near the Santa Ana (5) Freeway, sold in June for about $18.5 million, CoStar Group Inc. records indicate. The new buyer is a Beverly Hills-based investor; the fitness club has about 14 years left on its lease and plans upgrades to the facility, according to CoStar.
Fighting Strong
UFC Gym of Santa Ana ranked No. 14 on the Club Industry listing with $151 million in annual sales, a 17% increase from a year ago. It has 2,105 employees in its 174 stores in 28 states.
UFC Gym is a brand of the Ultimate Fighting Championship, which sponsors mixed martial arts competitions. Another investor is Northern California-based New Evolution Ventures, which was co-founded by Mark Mastrov, co-founder of San Marcos-based 24 Hour Fitness, No. 3 on the list with about $1.5 billion in revenue.
UFC ranked No. 103 among OC’s largest private companies last year.
Xponential Growth
Irvine’s Club Pilates reported a 10% increase in sales to $52 million, good for No. 28.
“Club Pilates is experiencing incredible growth. We have 120 territories available,” said the company’s website this past week.
It said it has more than 650 locations slated to open by the end of this year.
Its parent company is Irvine’s Xponential Fitness LLC, which owns eight boutique fitness brands.
One of those is Pure Barre, which reported a 14% increase to $30 million in annual sales, ranking it No. 40.
Barre fitness combines ballet inspired moves with Pilates, dance, yoga, and strength training. The Irvine-based company claims barre is “an extremely effective total body workout that lifts your seat, tones your thighs, abs, and arms and burns fat in record-breaking time.”
Founded by dancer Carrie Dorr in 2001, the company has more than 500 stores in 45 states. It’s aiming to have more than 1,000 studios worldwide by 2021.
In addition to Xponential, L Catterton, a consumer-facing private equity firm, also has a stake.
Irvine’s Cyclebar Franchising LLC, also owned by Xponential, came in 60th by reporting a 43% increase to $13.6 million.
The indoor cycling studio has 36,375 members at 185 sites spread over 36 states. It provides instructors, heart-pumping music and statistics.
“Our rides offer a full-body workout and a rigorous cardio experience,” the website said.
On a combined basis, the three Xponential brands on the list would rank No. 20 at just under $96 million.
