Genesis Health Clubs has purchased 19 clubs from 24 Hour Fitness for an undisclosed amount. With these additions, Genesis is now one of the largest health club companies in the Mid West. The change-over took effect on June 15, 2016.
As part of the transaction with 24 Hour Fitness, Genesis purchased eight clubs in the Kansas City metro area, five in the Omaha metro area, four in St. Louis and two in Oklahoma City.
In a second transaction with Gold’s Gym, Genesis also sold the St. Louis and Oklahoma City locations, and bought six additional clubs from Gold’s Gym. This included two gyms in Omaha, two in Lincoln, Nebraska, and two in Tulsa, Oklahoma.
“We almost doubled our footprint overnight,” said Rodney Steven II, the founder of Genesis Health Clubs. “My team and myself are excited to expand, grow and create new opportunities for both members and staff. I’m excited to work with these new teams and welcome them to our Genesis family.”
These acquisitions comes in the wake of a number of other key acquisitions made by Genesis Health Clubs over the past few years. In May 2016, the company acquired four locations from Gold’s Gym. Late last year, it purchased Midtown Athletic Club in Overland Park and converted it to a Genesis.
In addition, the company had previously doubled its footprint in the Midwest from 2011 through 2014 with the purchases of Maximus Fitness in Lawrence, Leavenworth and Topeka; Ozark Fitness in Springfield; and MAX Fitness in Manhattan.
According to Steven, the company plans to breath new life into the new locations through renovations. In a previous interview with Club Solutions Magazine, Steven had said construction was one of the most time-consuming aspects of his job. When asked if the new construction projects are something he’s excited about or dreading, he said “a healthy mix of both.”
“Luckily the construction projects in several of our existing markets are coming close to fruition,” continued Steven. “But, these new clubs all need a facelift in certain areas and, as we have talked about before, it takes time. I’m excited to give these new Genesis members upgrades to their facilities and something to look forward to, I just wish construction was an easier and faster process.”
Genesis Health Clubs was founded by Rodney Steven II 30 years ago, starting with just one location in Wichita, Kansas.
Also with 30 years of experience in the health and fitness industry is 24 Hour Fitness, headquartered in San Ramon, California. It serves nearly 4 million members in 450 clubs across the U.S.
In January 2016, 24 Hour Fitness announced a brand redesign that debuted the company as a lifestyle and media company. As part of the brand relaunch, led by Mark Smith, CEO, and Frank Napolitano, president, the company executed a number of key programs and initiatives to connect with members in new ways, both inside and outside the club. It also bolstered its executive leadership team with a number of important additions.
24 Hour Fitness clubs can be found in California, Colorado, Florida, Hawaii, Maryland, Nevada, New Jersey, New York, Oklahoma, Oregon, Texas, Utah, Virginia and Washington.
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Rachel Zabonick-Chonko is the editor-in-chief of Club Solutions Magazine. She can be reached at rachel@peakemedia.com.
Congratulations Rodney!
You have added lots of value to my life!
How will this effect the members of the once 24hr fitness? Will their membership prices be raised once the new year sets in? If so, I can see many angry and disappointed customers.