Retro Fitness is set to open new locations across several states this year and next, with long-term international growth ambitions
Retro Fitness is on track to open 500 health clubs in 50 underserved communities across the U.S. over the next five years, following its Project LIFT initiative, which received a significant investment from BlackRock Impact Opportunities in 2022.
In the last three months, the high-value, low-priced (HVLP) fitness brand used the BlackRock capital to open three new clubs in Pasadena, Texas, and Delray Beach and Lauderhill, Florida.
Retro Fitness Embarks on Renovations
It’s been a busy year for the Florida-based Retro Fitness. In addition to its growth endeavors, the HVLP fitness chain kicked off a brand transformation that includes club renovations that usher in a more modern vibe.
Andrew Alfano, Retro Fitness CEO and former Starbucks exec, said the gym brand is pleased with the feedback regarding its fitness clubs’ new look and feel – which he refers to as a “maturing” of Retro Fitness and has led to new opportunities.
“We believe the transformation of the brand is just part of what has attracted area developers and investors to Retro Fitness,” Alfano said. “We are fielding a significant amount of interest from other industries – specifically the restaurant space – which recognizes us for high margins, low complexity, recurring revenue and multiple revenue streams.”
The HVLP fitness chain also recently acquired three existing clubs on Long Island, New York, and two in Florida and signed area development agreements for northern New Jersey and Boston.
“We are proud that our investment in Retro Fitness on behalf of our clients has benefitted communities in Texas, Florida and New York, and are pleased to continue supporting the company and Project LIFT through this next stage of growth,” BlackRock Impact Opportunities managing director Joseph Acevedo said.
International Goals
Beyond its domestic growth goals, Alfano told Athletech News in an exclusive interview earlier this summer that he believes Retro Fitness will eventually have over 1,00 gyms across the nation along with international locations.
He also pointed out the HVLP fitness brand’s amenities and offerings.
“Not only do we have everything that the boutiques offer with classes, we also have personal training, a smoothie bar and a retail pro shop,” Alfano shared. “We have massage chairs and red light therapy because we understand that recovery is extremely important to members today.”
HVLP in the Headlines
HVLP gym brands have been generating headlines as of late. Planet Fitness named a new CEO, and in August, Equinox-owned Blink Fitness filed for bankruptcy. The fitness brand is now in talks with U.K. gym giant PureGym to purchase a substantial portion of its gym locations in New York and New Jersey.
