“This was a complete and total disruption to all of our business standards, so we had to take swift and decisive action to get us back on track,” Gold`s said in prepared remarks. But the pandemic abruptly shut down the industry in March and California closed indoor gyms again after infections rose sharply last month. The fitness industry scored a victory when the state declared outdoor fitness to be a critical business that could continue to operate on new home support orders. “The court`s decision reinforces the strength and promise of our business strategy and plans for the future,” CEO Tony Ueber said in a statement. The company said it would emerge from bankruptcy with a lean balance sheet and improved real estate transactions. Gold`s Gym filed for Chapter 11 bankruptcy protection on Monday as the coronavirus pandemic ravages the company`s operations. Zeitsiff said these locations were either below average, had unfavorable leases or had other problems that made them “financial burdens on businesses.” After the closure of these 32 locations, Gold`s Gym will still have 63 corporate stores in operation. Zeitsiff said he no longer sees the need to close. “We`re not going anywhere,” Zeitsiff said in an interview.

“Unfortunately, our industry has been hit hard like many others, but we don`t have a takeaway or truck pickup service, so it`s difficult for us to maintain sales during this time.” Kyle Arnold. Kyle Arnold is the aviation editor for The Dallas Morning News, covering airlines, air transportation and the aerospace industry. Previously, he worked as an economic reporter for the Orlando Sentinel, Tulsa World and The Monitor in McAllen. He is a graduate of the University of Washington. Other fitness companies, including Gold`s Gym and Town Sports, the operator of New York`s sports clubs, have also filed for bankruptcy during the pandemic. The fitness industry has been booming in urban areas in recent years, with customers flocking to workout companies that offered compelling community and personal experiences. “We want to be 100 percent clear that Gold`s Gym is not going to close,” President and CEO Adam Zeitsiff said in a press release. “The brand is strong and we will continue to innovate and expand our digital business, licensing program and global presence while focusing on serving our millions of members around the world.” “Gold`s Gym has been the trusted global fitness authority for over 50 years, and we`re going absolutely nowhere,” Adam Zeitsiff, president and CEO of Gold`s Gym, said in a statement. “While covid-19 closures have prompted us to reassess the viability of some company-owned sites and make the difficult decision to permanently close about 30 gyms, we know we will emerge stronger and ready to grow. This decision only affects company-owned gyms, primarily in our St.

Louis, Alabama and Colorado Springs markets, and has no impact on any of our franchised gyms. We are focused and will always focus on our members in nearly 700 gyms in 29 countries around the world, and we look forward to welcoming you back as soon as it is safe for our members, team members and communities. “We`re not 1,000% bankrupt,” said Adam Zeitsiff, CEO of Gold`s Gym. “This is a consequence of the global COVID-19 pandemic.” Roland Li covers commercial real estate for the business office, focusing on the office and retail industries of the Bay Area. Gold`s Gym on Monday filed for chapter 11 bankruptcy protection, making it the latest company to continue restructuring amid coronavirus-related business disruption. Gold`s Gym has been the trusted global authority on fitness for over 50 years, and we`re going absolutely nowhere. Watch an update on our business and future plans from our President and CEO Adam Zeitsiff on t.co/BKpEJxwILy pic.twitter.com/87Hnkb53YB When COVID-19 restrictions end, it will lead to big changes for gyms and other businesses. Zeitsiff said the company-owned clubs will likely only reopen with cardio and weightlifting zones, skipping fitness classes and personal workout services until customers feel more comfortable. The gym chain was forced to temporarily close its U.S. locations in March in response to state restrictions on businesses.

In April, it announced that it would permanently close 30 sites owned by the company. Kat Velasquez leaves 24 Hour Fitness after a workout at Walnut Creek on Wednesday. Outdoor operation increases costs by up to 300% per club and adds costs, including equipment relocation, insurance, permits and health care measures. The clubs close at 5:30 p.m. .m., when it`s dark. The company declined to say how many employees have lost their jobs as a result of layoffs, but said its workforce has been cut by nearly 60 percent this year. In California, Hawaii and Oregon, more than 400 employees were brought back to run outdoor clubs. When the company`s sites reopen, Zeitsiff said social distancing measures would be implemented, including shutting down alternating cardio machines and broadcasting other devices. The establishments owned by the company do not initially organize fitness classes. Gold`s Gym International, headquartered in Dallas` Uptown neighborhood, said it is pursuing a “pre-negotiated” restructuring of Chapter 11 that will allow it to show up around Aug. 1 while it continues to operate.

It closed 32 clubs as part of the bankruptcy, including three in the Dallas area, the company said. In March, company-owned sites were closed due to the escalation of the COVID-19 pandemic. Those sites are still closed, but the company is preparing to open gyms in Oklahoma and then in other states, as local laws allow, Zeitsiff said. Sanft said he expects more members to return at a higher rate next year, especially since a vaccine is widely available. And the strength of the industry in building a community is an advantage over home gyms, he added, beyond training equipment. Dallas-based fitness chain Gold`s Gym filed for bankruptcy protection on Monday and plans to restructure its debt and shut down its sites as the latest company succumbs to financial pressures from the COVID-19 slowdown. He is the author of “Good Luck Have Fun: The Rise of eSports,” a 2016 book about the history of the competitive video game industry. Before moving to the Bay Area in 2015, he studied and worked in New York City.

He has worked as a freelancer for the Wall Street Journal, the New York Times and other local publications. His hobbies include swimming and city photography. Gold`s Gym SoCal refers to an association of independent Gold`s Gym franchises that offer certain mutual benefits to each other`s members. Each franchise maintains its own independent business status, has its own officers, directors, employees and contractors, and each operates according to its own separate policies and procedures. In a recent interview with Business Insider, Zeitsiff outlined the company`s plans to reopen gyms under new protocols, including reduced capacity and improved cleaning procedures. Previously, he was a reporter at the San Francisco Business Times, where he received one award from the California News Publishers Association and three from the National Association of Real Estate Editors. The duration of the COVID-19 pandemic could cause more problems for Gold`s Gym franchisees across the country in the coming months, especially in places where fitness club restrictions still exist. Gold`s Gym talked to franchisees about how to negotiate with owners and give advice on how to get loans from agencies like the Small Business Administration, Zeitsiff said. Zeitsiff said Gold`s Gym got off to a good start in the year before the pandemic. “To be clear, the filing should not affect our licensing department, it is not affiliated with any of our local franchised gyms and will not prevent us from continuing to support our system of nearly 700 gyms around the world.

While the COVID-19 pandemic has certainly had an impact on our company`s gymnastics operations, we expect the depot to no longer impact current operations. Kat Velasquez trains Wednesday in the outdoor tent area of 24 Hour Fitness in Walnut Creek. The company has received court approval to end the bankruptcy by the end of the year. 735 South Figueroa Street Suite 100 , Los Angeles, CA 90017 The bankruptcy has no impact on the club`s franchise operators, who operate approximately 90% of all Gold`s Gym establishments. The gym operator listed assets and liabilities of up to $100 million, according to court documents. Chapter 11 bankruptcy allows a business to continue working while developing a plan to pay lenders and ease its burden. Since August 31, 2020, we have reopened some of our clubs: Oxnard, Simi Valley, Anaheim Town Square, Garden Grove and Fullerton. .