YouFit sold its four Texas locations in late 2022 to Retro Fitness for an undisclosed amount, according to an announcement from YouFit.
The four clubs in the Dallas area were purchased by Retro Fitness franchisee James Collins with the support of Retro Fitness corporate, according to Retro Fitness. Collins is backed by BlackRock’s Impact Opportunities Fund. He has purchased four separate area development agreements, one of which was for exclusive rights to Dallas. The clubs have been rebranded to Retro Fitness as part of the company’s Project LIFT initiative to bring clubs to 50 Black and Brown communities around the country.
YouFit will invest the proceeds from the sale along with funds from ownership into upgrading its 70 clubs with new strength training platforms and equipment plus upgraded front desks and signage.
“Investing the capital into state-of-the-art equipment, in addition to launching indoor pickleball along with adding more Les Mills classes to our schedule will give our members a better, more well-rounded fitness experience,” Josh Rider, YouFit Gyms chief revenue officer, said.
In addition to the club upgrades, YouFit will invest in increased marketing through national advertising campaigns that will be broadcast on Hulu, Univision as well as iHeartRadio stations in key markets. Commercials began airing in December 2022.
“As we continue to grow post-Covid, we are listening to our members' requests and delivering more strength training, more free weights, and additional upgrades across all of our locations,” Rider said.
The sale helps Retro Fitness with its plans to develop more than 30 clubs in the Texas market during the next few years. In total, 80 clubs under Eastwood Capital Partners and BlackRock’s Impact Opportunities Fund will be built in Dallas, Houston and South Florida as well as the New York boroughs of Queens and Long Island.
The Dallas clubs will be renovated to the Retro Fitness of the 21st century (RF21) design and will include new strength and cardio equipment, group classes, a smoothie bar for recovery, a Zen Den area with massage chairs for relaxation, tanning, red light therapy, a pro shop, a community area, and more.