Sunday, August 22, 2021

LAC Westport - Closing Permanently

 


When I got the email that LAC Westport was permanently closing, I was in a state of disbelief. I just figured it was another notice of hours changing or a new spin class being offered. It literally came out of the blue, as if there hadn't been any fight. The letter red like pure defeat, with no light at the end of the tunnel. You'd think that a gym that had been operating out of that spot since 2003 would have a Plan B, something for members to hang their hat on, but nothing. The only explanation offered, was that the landlord (whoever that may be), forced the situation. According to the email/website:

"You should know that closing was not our choice and that the Landlord insisted on adding a lease termination provision when they “helped” us with rent for the two months we were closed due to the COVID pandemic."

This was the only explanation offered. It provided LAC an out, but that's about it.

Although the gym was closed during the worst of the  pandemic (per state mandate), they bounced back once the doors re-opened. The gym tried to live up to state regulations (e.g. social distancing, masks, PPE), but many of the members simply didn't care. In time, much of the staff stopped enforcing rules. In fact, customer service was always lagging at this facility. Front desk people rarely acknowledged members and the gym oftentimes closed arbitrarily. It's summer hours were also, notoriously, bad. Still, Covid didn't kill the gym. Even before the virus, when Planet Fitness opened across the street, that didn't seem to really hurt the club, either. I was a member of both, and thankfully so, because while LAC closed for any little reason, Planet was always open. Planet was also cleaner, friendlier, and cheaper. Go figure! Still, there was no issue with the two facilites co-existing on the same road. 

I would occasionally shoot a text to my friend Jimmy Hornback about what was going on at LAC. Jimmy, is one of the biggest movers and shakers in bodybuilding world in Kentucky. He's been a member of a number of gyms and at one point, he considered running the gym in question. If he'd been in the driver seat, I have no doubt the place would be thriving today. Anyways, that ship has sailed. Whether I'd tell him about the issue with the masks or the arbitrary closing times, he was never surprised. LAC Westport was on the downward spiral for quite some time. This is why I don't consider the lease provision to be the real reason the doors are closing permanently. 

What's crazy to me, is that there isn't another gym in the area. With the exception of Planet Fitness, there isn't another gym (or anything close to one) for 5-10 miles. There's nothing on Westport or Brownsboro Rd. There's nothing in Oldham County, either. When you stop to think about it, LAC Westport could have raised member dues, tacked on maintenance fees, and/or even sold 5-10% equity to select members who wanted to invest the gym. There's absolutely no reason they had to take a handout for two months if the terms were as unfavorable as they claim them to be. There's all sorts of ways they could have made their monthly rent, maintenance, and even payroll expenses. That being said, I don't much about their operating structure. It seems each LAC is owned by different company, but are they ultimately all owned by one person, group? Are these shell corporations? Who knows?

The biggest concern with starting a gym is whether or not there will be enough members to cover costs and generate a profit. LAC Westport's location is fantastic, the members are there, and now there will be a huge gap left in the area. Then again, maybe a gym will open on Westport or east of it. This is one of the most affluent parts of Louisville-Metro, so someone can get all the former LAC Westport's business. If they've been going strong since 2003, even with a Planet Fitness across the street, I'd say the area is good for another gym to open shop. Only time will tell.

No comments:

Post a Comment