Life Time has attracted more than 1.7 million non-member subscribers to its free LT Digital app, all without any marketing efforts—and the number is expected to reach three to four million by the end of the year, Life Time founder and CEO Bahram Akradi told investors this week. 

The high-end country club operator’s complimentary app was a key focus during its earnings call with investors on Thursday, where the company reported an 18.7% increase in revenue to $663.3 million for Q4 2024, and an 18.2% increase to $2.62 billion for the full year.

Life Time opened LT Digital to non-members last year, providing free access to on-demand fitness classes, nutrition and exercise programs, meditations, podcasts and more. Shortly thereafter, the club operator announced a partnership with Microsoft to launch L.AI.C, an AI-driven companion for members to answer basic questions about their home club, with broader plans to have it offer tailored workout programs and more. By the end of 2024, Life Time added 100 new on-demand classes on the app and introduced LTH, a line of supplements and wellness products.

While freebies often fizzle out, Life Time continues investing in its app for non-members, recently launching wellness challenges—one of which is a protein reset. 

Some free LT Digital subscribers will eventually convert to paying Life Time members, Akradi says, he remains focused on the bigger picture—as he alluded to connecting LT Digital to growing demand for LTH’s nutritional supplements. The product line is extensive—there are protein offerings, vitamins, pre-workouts, specialized kits and more. Consumers can shop by health needs or take a two-minute quiz to personalize their routine. 

On a personal note, Akradi shared with investors that he takes somewhere between 80 and 90 supplements a day. 

“With the month-over-month growth we’re seeing, we expect that business to be a billion-dollar revenue business in the years to come and the LT Digital with tens of millions of subscribers on it over the next four, five, six years—will become an easy, natural foundation for the people to find the LTH products and be able to just easily buy it. L.AI.C. will help them answer any questions they have about any products, coupled with the understanding of who they are and their activity levels.”

Akradi also indicated that a bigger reveal will come—perhaps in early August—regarding other asset-light opportunities that the brand has been working on for several years. Life Time plans to open 10-12 clubs this year and its second Miora clinic—focused on longevity and performance—will open next week.

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Weight loss medication has upended the diet industry and shows no signs of slowing down, with medication shortages only compounding the demand for GLP-1 drugs, which can help patients lose 15% or more of their body weight.

Regardless of the various opinions on medications like Ozempic and Wegovy, the blockbuster drugs can have far-ranging impacts beyond slimming down Americans — Goldman Sachs estimates that they could raise U.S. GDP levels and, at last count, analysts forecast that weight loss medications will likely generate as much as $100 billion in revenue by 2030.

With so much financial promise and a prediction that 9% of the U.S. population will eventually become a GLP-1 user in just six years, nearly every industry is looking to integrate weight loss medication or support its users in one aspect or another. Even food and beverage giant Nestlé is releasing a frozen food line for people on GLP-1 drugs.

As weight loss drugs continue to have a sizable impact at every turn, here is how telehealth companies and brick-and-mortar fitness giants are responding to the Ozempic era.

Diet Industry Heavyweights Embrace Weight Loss Drugs

WeightWatchers was undoubtedly ahead of the game, acquiring telehealth provider Sequence last year to become one of the first to offer weight loss drugs to consumers — a far departure from its original goal as a diet and weight loss OG.

“WeightWatchers is at a pivotal point where we can build new capabilities that expand our market, reinforced by our foundational strengths,” former WeightWatchers CEO Sima Sistani remarked regarding the Sequence deal. “Our goal is to provide sustainable, science-backed solutions to all weight health pathways, whether medications are part of an individual’s journey or not.”

The Vitamin Shoppe, a titan in the brick-and-mortar supplement space, is also getting into the GLP-1 game, launching a telehealth service connecting eligible consumers with licensed healthcare providers to offer nutritional supplements and anti-obesity drugs such as Ozempic and Mounjaro, as well as compounded versions of semaglutide and tirzepatide, the active ingredient in Zepbound.

The Vitamin Shoppe CEO Lee Wright says the company’s Whole Health Rx service is a “meaningful evolution” in its mission to support the needs of its customers – a similar signal to that of WeightWatchers. While it will initially focus on weight management, Whole Health Rx plans to expand into other verticals. 

“As a pioneer in the wellness space since 1977, The Vitamin Shoppe is uniquely positioned to offer a truly holistic approach to weight loss that unites proven pharmaceutical interventions with our unmatched expertise in nutrition support and whole-body health,” Wright added.

New Telehealth Players Emerge

Hims & Hers Health may not have rushed into the GLP-1 space, but it’s done so mindfully — and at a discounted rate. The telehealth platform, witnessing the ongoing shortages of name-brand anti-obesity drugs, will now provide compounded GLP-1s for eligible consumers. The company has partnered with a U.S. drug manufacturer to provide generic medications with the same active ingredients as the Ozempic and Wegovy, shipping them from affiliated pharmacies at a more cost-conscious price point. In time, the health and wellness platform says it will make branded options available after a consistent supply is established.

“The core of our business is to offer a truly personalized experience that customers can trust and rely on,” Hims & Hers CEO and co-founder Andrew Dudum said. “We’ve leveraged our size and scale to secure access to one of the highest-quality supplies of compounded GLP-1 injections available today. We’re passing that access and value along to our customers, who deserve the highest standard of clinical safety and efficacy to meet their goals, and we’re doing it in a safe, affordable way that others can’t deliver.”

Telehealth company Ro, which counts obesity expert Dr. Rachel Goldman as an advisor, is also transforming the way consumers access GLP-1s.

“GLP-1s are allowing individuals who have the disease of obesity to be on a level playing field,” Dr. Goldman said. “They have this extra tool that is helping them get to a place where they’re more in that category of individuals who, if they’re mindful about what they’re eating and exercising a little more, they will likely lose weight. It’s literally giving people hope who felt like they lost hope. Some people saw an option like bariatric surgery as a last resort but GLP-1s are now giving people an additional option. We are also seeing that people after bariatric surgery have weight (gain) recurrence because obesity is a chronic disease.” 

Fitness Brands Cater to GLP-1 Users

Weight loss drugs have also inspired fitness operators to capitalize on consumers looking to lose.

Last year, luxury athletic country club operator Life Time entered the weight loss medication arena with Miora, a medical wellness and longevity clinic featuring GLP-1s as well as infrared saunas, red light therapy, peptides, hormone replacement therapy, IV therapy and cryotherapy chambers.

While Miora is poised to roll out nationally, the clinic is already seeing high demand, 

and Life Time is bolstering Miora’s staff of doctors and physician assistants to handle the traffic.

Life Time founder and CEO Bahram Akradi has been outspoken on weight loss medication, noting that the athletic country club brand has the ideal customer base within its clubs – those who seriously invested in their health – and stated that the popular drugs will remain a “megatrend.”

“It’s going to stay, and it’s not a negative for exercise because you absolutely need to combine the proper weight training and nutrition with these drugs,” Akradi said. “The exercise business is going to get a win out of it. Life Time is uniquely positioned because, in every market, we have facilities where we can launch Miora Clinics for longevity, for addressing weight loss, peptides, all of that,” he said. “We look at this as nothing but an upside.”

Equinox, now heavily invested in metabolic health and longevity with Function Health, hasn’t abandoned the weight loss medication space or Equinox members who opt to take the in-demand drugs. The luxury fitness and wellness brand is committed to helping its members with a personal training program designed for clients on medication like Ozempic and Wegovy or those interested in using GLP-1s.

The brand added a GLP-1 protocol to its internal education program at the Equinox Fitness Training Institute to ensure coaches learn how to create workout plans that address possible muscle loss — a side effect that can occur for those taking weight loss medication.

Digital healthcare company Noom partnered with digital health and fitness platform FitOn to launch “Muscle Defense,” a program designed to combat muscle mass loss with on-demand fitness programming geared towards weight loss medication users.

“We designed Noom GLP-1 Companion with Muscle Defense to be the adjunct diet and exercise program that addresses key dangers associated with taking GLP-1s such as loss of muscle mass,” Noom CEO Geoff Cook explained. “We believe prescribing the drug without such a program carries dangers, given the amount of muscle mass people often lose while taking a GLP-1 and the fact that most people will stop taking the GLP-1 and regain the weight absent of behavior change, which can potentially lead to future conditions like sarcopenic obesity.”

“It’s critical we not leave people worse off than before they started the medication. Healthy habits have never mattered more,” Cook added.

This article originally ran in the The Business of Prevention, Recovery & Longevity Report 2024. Download the report now to read more insights into how fitness and wellness brands are making strides in key markets.

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Following a stellar Q2, Life Time is selling 12,000,000 shares of common stock held by the luxury athletic country club operator and certain existing stockholders to the public at $21.75 per share, the proceeds of which will go towards general corporate purposes and possibly debt repayment.

The underwriters in the offering will have a 30-day option to purchase up to an additional 1,800,000 shares of common stock from the selling stockholders, according to the fitness operator. The offering is expected to close Aug. 14, 2024.

Life Time won’t receive any proceeds from the sale of the shares of the common stock by the selling stockholders.

More than a Gym

The high-end fitness and lifestyle operator recently raised its full-year revenue guidance to between $2.56 and $2.59 billion following another strong quarter that saw continued high member engagement and the opening of three new clubs.

On a call with investors earlier this month, Life Time CEO Bahram Akradi noted that the luxury club — brimming with activities from pickleball to personal training — are viewed as more than just a fitness facility or a health club to Life Time members.

“(Life Time) — it’s everything to our members,” he said. “It’s their social place, it’s their beach club, it’s their programs, it’s their network.”

Akradi also pointed out that LifeTime has managed to score such enthusiasm from prospective members that waitlists to join are commonplace, even with higher-than-average monthly dues of $190 per month.

“These results are with zero salespeople in the company,” he told investors. “We’ve told you guys this for the last three years, but maybe now the results speak for themselves: there’s zero promotions. There’s no advertising for the membership.” 

The premium health and wellness operator is also eyeing continued investment in artificial intelligence, having previously partnered with Microsoft to launch L.AI.C, an AI-powered Life Time member companion housed within the Life Time member app. While the AI will first support basic member needs (such as answering simple questions), Life Time plans to eventually use the advanced technology to create a more personalized experience for members. 

While staying on top of the tech game is a priority for Life Time, it’s certainly not forgetting pickleball. The company, which has steadily invested in the beloved sport in recent years and is now the largest owner and operator of permanent pickleball and indoor tennis courts, just filed a patent to develop Ultimate Pickleball, an improved ball that addresses common complaints, such as inconsistency and lack of durability.   

Ultimate Pickleball will first roll out exclusively in Life Time clubs this month and will be used at all Pickleball Classic tournaments before becoming available at Life Time’s racquet sports pro shops and online.

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Life Time is raising its full-year revenue guidance to between $2.56 and $2.59 billion following strong second-quarter performance, with founder and CEO Bahram Akradi touting high engagement numbers and noting that Life Time clubs are “everything to our members.”

LTH shares rose 8.6% in early hours trading Thursday in response to the earnings announcement. 

“The midpoint of this range will deliver approximately $1.31 billion of revenue in the back half of this year, versus $1.14 billion last year, implying a 14.6% revenue growth rate for the second half of 2024,” Akradi told investors on Thursday’s earnings call.

In the second quarter, Life Time’s revenue rose 18.9% to $667.8 million due to continued strong growth in membership dues and in-center revenue.

Life Time center memberships grew by 42,398, or 5.4%, since June 30, 2023, and increased by 30,626 from March 31, 2024. The operator’s total subscriptions (including center memberships and digital on-hold memberships) also trended upward by 5.5% to 878,767 from June 30, 2023.

“The second quarter also was an important inflection point for the company as we achieved positive free cash flow as expected and a net debt leverage ratio of 3.0 times, which was two quarters earlier than our plan,” Akradi said.

The luxury athletic country club operator opened three new centers in the quarter.

Member Experience Is Priority #1

In terms of consumer behavior, Life Time continues to have waitlists for its centers, and, despite an average monthly membership due of $190, is impervious to any tightening of the purse strings. 

“For an entity focused on particular deliverables, as long as you’re delivering the customer what they’re looking for, I think there’s plenty of customers who are willing to pay for that,” Akradi said. “We are not seeing any weakness at all anywhere across our business.”

It’s a point that Akradi emphasized, noting that the demand to become a Life Time member is organic.

“These results are with zero salespeople in the company,” he stated. “We’ve told you guys this for the last three years, but maybe now the results speak for themselves: there’s zero promotions. There’s no advertising for the membership.”

Akradi takes issue with the term “gym,” underscoring Life Time’s commitment to serving as more than a place for fitness – but a lifestyle. 

“(Life Time) — it’s everything to our members,” Akradi said. “It’s their social place, it’s their beach club, it’s their programs, it’s their network. Yes, they get a workout, and we are constantly working on how to improve those things from a member’s point of view.”

Investing in AI, Personal Training & Pickleball

When asked what other kinds of programs Life Time is looking to invest in, Akradi was quick to respond: artificial intelligence.

The lifestyle operator recently partnered with Microsoft to launch L.AI.C, an AI-powered Life Time member companion that lives within the Life Time member app. The initial iteration will answer basic questions such as club hours and descriptions but will eventually provide personalized class suggestions, tailored workout programs and more. 

“I think the most important transformation in this era is AI,” Akradi said. “If you’re not going to be ahead, you’re going to be ridiculously behind.”

Providing a rough sketch of plans, Akradi said AI will first improve the Life Time member experience regarding engagement. Eventually, the club operator plans to use the technology to create additional efficiencies.

Personal training, stretching and nutrition are all seeing an increase in interest, while pickleball remains a priority. Life Time is continuing on its mission of establishing 1,000 courts in the next 18 months and just filed a patent for an improved ball for the popular racket sport.

Akradi, a personal fan of pickleball, remains bullish on the sport and says it’s the activity that will get America “off the couch.” Earlier this spring, Life Time signed Lululemon as its official pickleball and tennis apparel partner.

“I think it’s got a very high potential of being an Olympic sport by the next Olympics,” he said of pickleball. “We’re all in. We’re going to support the sport just like we do with everything else.”

Life Time also sees demand from an employer perspective, with roughly 20 times as many applicants from personal trainers. 

“It’s really the best position we have ever been in,” Akradi said.

The athletic country club operator also appointed Erik Weaver as its executive vice president and chief financial officer. Weaver had served as Life Time’s interim CFO since January.

The post Life Time Raises Revenue Guidance on Continued High Engagement appeared first on Athletech News.

America’s fastest-growing sport — pickleball — is experiencing a flurry of investment activity in 2024.

The Picklr, a Utah-based indoor pickleball franchise that counts former NFL player Drew Brees as an investor, owner/area developer of 30 locations across the Midwest and brand ambassador, recently closed its Series B funding round at a $59 million valuation, bringing its total raise to $9 million.

The pickleball franchise sold over 300 franchises in the last 12 months with 98 locations under contract, and by early next year, expects to have a presence in over 32 states to secure the title as the largest provider of indoor pickleball clubs globally.

Led by Pickleball Inc., the parent company to Carvana Professional Pickleball Association (PPA Tour), Pickleball Central, Pickleball Brackets/Pickleball Tournaments, PickleballTV, Pickleball.com and TopCourt, The Picklr will have over 1,080 pro-style indoor courts available by the end of 2025.

“It’s no secret that the game of pickleball has exploded in popularity,” The Picklr CEO and co-founder Jorge Barragan said. “Guided by strong corporate leadership and inspired by our enthusiastic team of franchise owners, The Picklr heads into this next chapter with an eye on bringing even more courts and a strong, like-minded community to pickleball players worldwide.”

Courts in High Demand

Indoor pickleball facilities are high in demand, with The Picklr averaging founder memberships in the 500-600 range for new clubs, according to Jonathan Fornaci, Picklr’s president and chief operating officer.

The pickleball franchise brand will be promoted on the PPA Tour, live broadcasts, and commercials, while pickleball superstore Pickleball Central will be available at all Picklr locations for demos and pre-releases of new equipment. Pickleball-specific performance apparel band (and Picklr sister company) Stack Athletics will also be sold at Picklr locations. 

As for its global endeavors, The Picklr confirmed recently that final master franchise agreements will be announced for Canada, Australia, New Zealand and the European Union. 

Investors, Franchisees Embrace Pickleball

With pickleball participation surging (over 48 million adult Americans have played the sport at least once in the past 12 months, according to March 2023 research released by the Association of Pickleball Professionals) and infrastructure lacking in terms of courts, leading pickleball brands have won over investors. 

Late last month, urban pickleball purveyor CityPickle received a significant minority investment from The Avenue Sports Fund, a firm managed by former Milwaukee Bucks owner Marc Lasry, to establish additional permanent indoor pickleball facilities in New York City and other metro locations around the U.S. The investment amount was not disclosed.  

Pickleball has also emerged as the next hottest franchise, thanks to high demand for courts and the sport’s universal appeal to all generations and abilities. 

Along with The Picklr, indoor pickleball franchise Pickleball Kingdom is expanding to meet demand, with 140 clubs built or being built in the U.S. 

Similarly, Ace Pickleball Club has seven franchised clubs projected to open this year across the U.S. with a minimum of 16 franchises open and operating by the end of the year. The indoor pickleball brand offers unlimited open play and glow-in-the-dark technology as an added bonus. Dill Dinkers, another indoor pickleball franchise that launched in 2022 by husband-and-wife team Will and Denise Richards, has over 200 locations in development across the nation. 

The low-impact, inclusive sport has also found a fan in Life Time founder and CEO Bahram Akradi, who has overseen a rich investment into pickleball across the luxury athletic country club brand, including a seven-court pickleball complex in New York City. 

Akradi’s passion for (and investment in) the sport has paid off; in 2023, Life Time reported a 51% growth of pickleball players on its courts.

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CityPickle, an urban pickleball purveyor, is gearing up to build more permanent indoor pickleball clubs in New York City and other metropolitan areas around the United States, fueled by a significant minority investment from The Avenue Sports Fund, a firm run by former Milwaukee Bucks owner Marc Lasry.

It’s welcome news to city-dwelling picklers, who have been woefully underserved, according to a 2023 participation and infrastructure report that revealed major metropolitan cities in the U.S., like New York and Los Angeles, have been in a pickle — lacking the infrastructure needed to meet the player demand for the fast-growing sport. The report stated that 25,000 courts and a $900 million investment were required to match the enthusiasm, demonstrating just how popular pickleball has become.

CityPickle co-founders Mary Cannon and Erica Desai, who launched the urban pickleball brand in the summer of 2021, noted that they have been experiencing an “overwhelming demand” for increased access to the sport. The brand has been opening facilities that offer a one-stop shop for physical activity and fun, with pickleball clubs that combine indoor courts and a full bar and restaurant as well as seasonal courts.

“There is a significant opportunity to provide permanent and pop-up pickleball locations to service the growing and passionate demand for this sport,” Lasry said. “We are excited to join with the CityPickle team to support its expansion strategy.”

A CityPickle spokesperson declined to comment on the investment amount.

NYC’s Hottest Rec Sport

The pickleball club brand has been putting down roots in The Big Apple and was recently selected by NYC Parks to revive Anchorage Plaza, a 60,000-square-foot space under the Brooklyn Bridge. The project, slated to debut next spring, will have pickleball courts, public art, community programs and food trucks.

Last fall, CityPickle opened its first permanent pickleball club in Long Island City and has become a seasonal partner of the famed Wollman Rink in Central Park, which touts 14 permanent courts. There is also an indoor, seven-court location at Brooklyn’s Industry City that CityPickle operates, along with activations at high-profile locations at Hudson Yards and Union Square Park. In Philadelphia, CityPickle has an activation at City Hall. 

In addition to court reservations, clinics and open play, CityPickle offers private coaching and a space for private and corporate events.

“We are thrilled to have the Avenue Sports Fund join our team at CityPickle as we further our mission to spread the joy and community of pickleball in New York City and other metropolitan areas,” Cannon said.

The Great Pickleball Race

Luxury athletic country club operator Life Time has also seriously invested in pickleball, establishing over 600 permanent courts. Its founder and CEO, Bahram Akradi, once remarked that it’s the most unifying sport he’s seen in 44 years. He’s also made it clear that Life Time is intent on being the nation’s largest pickleball provider.

“It is the sport that we have to provide for our members,” Akradi said in an interview with That Pickleball Guy. This spring, Life Time opened the doors to its long-awaited pickleball space at NYC’s PENN 1, which boasts seven street-level courts.

Life Time reported a 51% growth of pickleball players on its courts in 2023 and recently partnered with Lululemon to provide athletic apparel at events, including the Life Time Pickleball Classic.

The bigger picture, however, is that pickleball has become a promising franchise model. 

With demand high for indoor pickleball facilities, franchises like Utah-based The Picklr are cashing in. The indoor pickleball franchise, backed by former NFL star Drew Brees (who is also an owner/area developer and brand ambassador) has partnered with Pickleball Inc., which oversees the largest pickleball brands, including Carvana Professional Pickleball Association (PPA Tour), Pickleball Central and PickleballTV.

The Picklr has 2,760 new courts in the works for the U.S. and has final master franchise agreements in the works for Canada, Australia, New Zealand and the European Union.

Pickleball Kingdom, another indoor pickleball franchise, has over 140 clubs built or being developed in the U.S. and is targeting the Ontario market as well as Dubai, India and Abu Dhabi, resulting from a recent agreement with Franchise India Group.

“Universally, the biggest complaint against pickleball is that there aren’t enough courts to meet the demand to play,” said David Haynie, chief pickleball officer at Pickleball Kingdom.

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Life Time has broken new ground, partnering with Microsoft to launch L.AI.C (pronounced lay-see), an AI-driven companion for its members that is housed within the Life Time member app. The luxury athletic country club operator has tapped Microsoft’s AzureOpenAI Service for the new feature, which is rolling out to beta users.

The first version will offer quick answers to basic questions such as club descriptions, hours and offerings of its 170+ clubs while future editions of L.AI.C will provide personalized class suggestions, assisted class and court reservations, tailored workout programs, answers to wellness-related inquiries, and connect members to online and in-club resources.

“AI advancements are unstoppable, and we’re embracing this opportunity to provide our members with experiences that will only get better and better – just as we have committed from the start,” Life Time founder and CEO Bahram Akradi said.

It’s just the beginning, Akradi says of the fitness and lifestyle brand that continues to see an “over-performance” in membership growth. Amid its national expansion, Life Time opened its second club in Brooklyn this spring, shortly following the debut of its Manhattan PENN1 location, which boasts the most indoor pickleball courts in NYC.

“From personalized, proactive suggestions and reminders to virtually unlimited opportunities to support our members’ unique needs and preferences, L.AI.C will further extend our brand as the trusted, go-to health and wellness partner for a lifetime,” Akradi continued. “The best is yet to come.”

Life Time Invests in Its App

Last month, Life Time opened its app to non-members, allowing anyone to access its wellness offerings and on-demand fitness classes free of charge.

While the luxury athletic country club operator dives head first into advancing technology, it’s also looking to maintain social connections and find new ways to engage its members, as Mark Huckaby, Life Time’s business development manager of Corporate Partnerships, shared with Forbes this month.

“Many clubs are hosting ‘bougee parties’ on a Saturday night where members are trading workout clothes for cocktail attire, families are spending more time together because of our offerings for kids and mom and dad, and we are helping to revitalize shopping centers, office centers and other places,” he told the publication. “It’s been tremendous to be a part of.”

Life Time’s decision to deploy AI to improve the member experience is consistent with its member-focused ambitions — which have paid off. The luxury club operator has kept the pulse of fitness and wellness trends, investing heavily in pickleball, establishing 635 permanent courts nationwide, expanding its Dynamic Personal Training program and launching a longevity and GLP-1 arm with Miora.

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Life Time, the luxury athletic country club operator that’s in expansion mode, has made its app free to non-members, so anyone can access Life Time’s premium wellness offerings, including on-demand fitness classes.

Life Time app users can access barre, boxing, cardio, cycle, dance, strength and yoga classes, training videos, nutrition and exercise coaching programs, meditation experiences, articles and podcasts. There is also an opportunity to shop for health and wellness products across apparel, nutrition and beauty products with exclusive in-app pricing.

“Since our founding nearly 32 years ago, we have remained unrelenting in our commitment to improve the health of our communities by delivering the best healthy way of life athletic country clubs, programs and performers,” Life Time’s chief digital officer RJ Singh said. “We focus on all elements of health and wellness and are very excited to extend this to millions more by making our comprehensive digital app complimentary to all.”

Life Time’s move to democratize its app comes as Equinox – a competitor in the high-priced health club space – takes a different direction, rolling out an exclusive new $40,000-a-year longevity-focused membership, Optimize by Equinox. In partnership with Function Health, the white-glove program includes biomarker testing, a personalized training program and a dedicated team of health and wellness experts.

While Peloton experimented with a free app tier in the hopes of converting users to paid subscribers (a short trial that the connected fitness brand quietly killed last month) — Life Time isn’t hurting on the paid membership front. The luxury athletic country club operator’s average monthly membership is around $190 (locations in major cities can run significantly higher) with waitlists a common occurrence amid historic member retention and engagement levels. 

Still, exposing new consumers to Life Time’s signature programming can’t hurt, especially as new Life Time centers are in the pipeline — including two locations expected to open in Brooklyn. 

The luxury club operator has also gone to great lengths to deliver the best member experience, including investing heavily in pickleball, which has paid off. In Q1 of 2024, Life Time reported a 16.8% revenue increase to $596.7 million, driven by increased membership dues and in-center revenue.

“Access membership at the end of Q1 2024 was 802,000, which is substantially above our expectations,” Life Time founder and CEO Bahram Akradi told investors on Q1’s earnings call. He added that the “over-performance” directly resulted from Life Time’s investment in pickleball, Arora, its group fitness program for active seniors, and dynamic personal training.

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Life Time continues to see historic levels of member retention and engagement, and the company plans to raise its full-year revenue and Adjusted EBITDA guidance, although shares of LTH fell in response to Wednesday’s Q1 earnings call.

In Q1 2024, the athletic country club operator reported a 16.8% revenue increase to $596.7 million, driven by increased membership dues and in-center revenue. Life Time also opened one new center in the first quarter of the year, bringing its total number of athletic country clubs to 172. 

Net income decreased $2.6 million to $24.9 million in the quarter, attributable primarily to tax-related circumstances such as sale-leasebacks and the sale of two triathlon events.

Shares of LTH dipped nearly 8% as of Wednesday afternoon following the earnings announcement.

Memberships, Engagement Remain High

Despite an inflationary environment, Life Time members clearly aren’t cutting back on their experience. Center memberships also trended upward by 5% when compared to the same period last year and luxury operator’s average monthly dues were $186, up 12.7% from the first quarter of 2023.

“Access membership at the end of Q1 2024 was 802,000, which is substantially above our expectations,” Life Time founder and CEO Bahram Akradi told investors on Wednesday’s earnings call. “This over-performance has been a direct result of the strategic initiatives we have previously discussed, which include pickleball, ARORA and small group training — and the improved member retention we are currently experiencing.”

The demand to become a Life Time member has led to waitlists, which Akradi says is a careful safeguard to ensure a high-quality experience that its members have come to expect. 

“I have personally expected to see some weakness for the last 18 months, and I have been wrong,” he said about the continued interest. “I have been wrong and wrong and wrong…the most important KPI is the retention, and we are seeing the best retention we’ve ever seen.”

Dynamic personal training, in particular, said Akradi, has led to “amazing success.”

“The momentum is strong,” he said of the popular offering. “The execution is the best I’ve seen. We are seeing continued growth and engagement in personal training and the connectivity between the members and personal training is improving. That was the most important piece of our in-center.” 

While Life Time has perfected its member programming, this year’s focus will be on improving the spa and café areas.

Gearing Up for Wellness & Longevity

As for Miora, Life Time’s recently added medical wellness and longevity clinics that offer popular therapies like infrared saunas, red light therapy, peptides, hormone replacement therapy, IV therapy, cryotherapy and GLP-1 weight loss drugs, Akradi said the brand is pleased with the demand and confirmed Life Time is working to increase Miora’s staff of doctors and physician assistants to handle the traffic.

The company just appointed James LaValle, a clinical pharmacist with nearly forty years of experience in metabolic health and anti-aging research, as its chief science officer to support Miora’s development. 

Despite long-term projections of its success, Akradi noted that Miora won’t have a material impact this year but will likely have a small influence in 2025. 

“I just don’t want to guide the financial community to try to get numbers put into this,” he said of Miora. “It’s not necessary. Our growth is pretty fantastic without it, and when we roll out Miora nationally, it will add to it.”

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Pickleball franchises are cashing in on the pickleball craze, following an eye-opening report last year that identified a $900 million investment required to support pickleball’s massive boom with courts and other infrastructure needs. 

The addictive sport has continued to gain popularity among fitness enthusiasts of all ages, with nearly 13.58 million people playing the socially driven and physically accessible sport in the U.S. last year.

Life Time is perhaps the most notable name entrenched in the sport; its founder and CEO Bahram Akradi is an admitted pickleball fan. The luxury athletic club chain just opened its long-awaited seven-court pickleball complex in New York City this week and has other complexes across the country, but competition is heating up. 

Here are some of the recent moves in the growing pickleball franchise space.

The Picklr Gets Investment From Drew Brees

The Picklr is establishing itself in the market, fueled in part by a strategic partnership with Pickleball Inc., a titan overseeing the largest pickleball brands, including Carvana Professional Pickleball Association (PPA Tour), Pickleball Central, PickleballTV and more.

The year is shaping up to be an excellent one for the Utah-based indoor pickleball franchise, which welcomed former NFL star Drew Brees as an investor, owner/area developer and brand ambassador in February. The famed quarterback oversees 30 Picklr franchises in Indiana, Ohio and Michigan. 

The Picklr just announced it has 2,760 new pickleball courts in the pipeline for the U.S., with 38 new clubs expected to open in 23 states and 52 additional leases in the final negotiation stages for openings this year and next. 

Demand is high for indoor pickleball facilities, with Jonathan Fornaci, Picklr’s president and chief operating officer, noting that all Picklr locations open with a minimum of 250 founder memberships, but year-to-date, new clubs are opening in the 500-600 range.

The pickleball franchise sees an opportunity to expand beyond the U.S., confirming that final master franchise agreements will be announced in Q2 for Canada, Australia, New Zealand and the European Union. 

Pickleball Kingdom Heads to Canada, Dubai

Like Picklr, indoor pickleball franchise Pickleball Kingdom is also expanding to meet rising demand, with over 140 clubs built or being built in the U.S. The pickleball brand founded by Ace Rodrigues is now ready to make its mark in Canada, starting with multiple clubs in Ontario.

“Universally, the biggest complaint against pickleball is that there aren’t enough courts to meet the demand to play,” said David Haynie, chief pickleball officer at Pickleball Kingdom. “Once our clubs are built throughout Canada, we will not only meet the existing needs but create an introductory path into this great sport for people who don’t currently play.” 

Pickleball Kingdom is also heading to Dubai, India and Abu Dhabi, resulting from a recent agreement with Franchise India Group. 

Ace Pickleball Club Opens Clubs Across US

Ace Pickleball Club, another fast-growing indoor pickleball franchise offering unlimited open play and special features such as glow-in-the-dark technology, has seven franchised clubs slated to open this year across the U.S. and expects a minimum of 16 franchises open and operating by the end of the year. 

In the second quarter, Ace Pickleball Club will open new facilities in Tucson, Arizona; Harrisburg, Pennsylvania; Cleveland, Ohio; Voorhees, New Jersey; Louisville, Kentucky and Fort Myers, Florida.

In an interview last summer with Athletech News, Ace Pickleball Club co-founder Jay Diederich identified an opportunity for more school systems to layer pickleball into their athletic programs. 

“The future is very bright,” Diederich said of the sport. “I think we’ve barely scratched the surface on the growth of pickleball going forward.”

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Life Time, already deeply invested in the pickleball craze to satisfy rising demand, has partnered with Ben and Collin Johns, two pickleball pros, to produce a series of 70 instructional videos centering on the popular court-based sport.

The partnership comes as Life Time officially opened its massive indoor pickleball space at New York City’s PENN 1 earlier this week, which features seven street-level courts and a group training area.

The luxury athletic club operator began its pickleball push in 2021, establishing over 635 permanent pickleball courts nationwide, which has come in handy, considering Life Time reported a 51% growth of pickleball players on its courts in 2023.

The videos are now available on the Life Time app and include demonstrations led by the Johns that introduce pickleball and its rules, warm-ups and practice drills, singles and doubles dynamics, key play movements and advanced Pickleball techniques.

“We’re thrilled to team up with Ben and Collin as we serve our growing membership engaging in this incredible sport,” said RJ Singh, Life Time’s chief digital officer and leader of Life Time Racquet Sports. “In keeping with our member point of view commitment, these videos will help everyone, including those who’ve never picked up a paddle, to advanced players looking to improve their tournament play and grow to the elite level.”

Betting Big on Pickleball

The video content series comes at a perfect time, with the opening of Penn 1, a development that has earned Life Time the title of having the most pickleball courts in NYC. The new courts and training area join Life Time’s class collection at PENN 1 and its functional training floor, recovery, relaxation and stretching areas.

Bahram Akradi, Life Time’s founder and CEO, is a devoted pickleball player and has expressed his excitement for the net sport in recent years, commenting that it’s the most unifying sport he’s seen in over forty years.

“It is the sport that we have to provide for our members,” Akradi has said.

By all accounts, pickleball is anything but a passing trend. Last year, roughly 13.58 million people played pickball in the U.S., an increase of over 51%. 

Members Love Life Time

Life Time’s focus on the member experience has paid off for the luxury athletic club operator. Over 20 clubs have membership waitlists and the brand reported impressive revenue and member engagement numbers in February.

“We expect to realize the highest retention rates in the history of Life Time in 2024,” Akradi told investors on February’s earnings call. 

Life Time is expected to release its next earnings report on May 7.

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Shares of Life Time are surging in response to strong fourth quarter and full-year fiscal 2023 results, demonstrating that its member-rich amenities and services are a hit with wellness seekers — so much so that there are membership waitlists at over 20 Life Time clubs, with additional clubs expected to have waitlists by May. 

The luxury fitness and lifestyle operator reported its total revenue increased 18.2% to $558.8 million for the fourth quarter and 21.6% to $2.217 billion for the year, crediting its continued strong growth in membership dues and in-center revenue. Net income also increased to $23.7 million for the fourth quarter and $76.1 million for the year. 

“I am thrilled to report that we achieved our operating and strategic objectives and exceeded our financial goals in 2023,” said Bahram Akradi, Life Time founder, chairman and CEO. “We set record levels of revenue and adjusted EBITDA, improved our balance sheet and further reduced our net debt leverage ratio.”

Akradi emphasized that Life Time expects to be free cash flow positive beginning in the second quarter and plans to open nine to ten new centers in 2024. The fitness operator opened its eighth facility in New Jersey this week.

“We also increased member engagement through our strategic programming initiatives, as highlighted by the increase to 135 average visits per membership compared to 124 in 2022 and, most notably, 108 in 2019 before the pandemic. The increase is a clear indication that our members are more engaged, with higher retention as a key outcome,” Akradi said,

Following Wednesday morning’s earnings call, shares of Life Time shot up over 11% as of Wednesday afternoon.

Resilient & In-Demand

Establishing waitlists for busy Life Time clubs creates a two-fold benefit, noted Akradi: maintaining the brand’s member experience and improving member retention.

“We expect to realize the highest retention rates in the history of Life Time in 2024,” he told investors, adding that, like most high-end leisure brands, the club doesn’t see any weaknesses in traffic.

By comparison, Placer.ai recently reported that traffic to ten leading fitness operators fell flat last month, typically when gyms are bustling with New Year ‘Fitness Resolutioners.’ 

“Right now, we see no reason to suggest the positive trend we’re experiencing today should change going forward,” Akradi added.

Life Time will also continue to invest in programming such as pickleball and small group classes.

Bullish on GLP-1s

Life Time isn’t experiencing any pain from the weight loss medication surge, with Akradi noting that Miora, the brand’s medical wellness and longevity clinic launched last fall, is a “huge opportunity” for the luxury lifestyle operator. The clinic offers popular, non-invasive wellness therapies such as infrared saunas, red light therapy, peptides, hormone replacement therapy, IV therapy, cryotherapy chambers and even GLP-1 weight loss drugs.

“We have exactly the right customer base in our clubs,” he said. “This is going to remain a megatrend. It’s going to stay, and it’s not a negative for exercise because you absolutely need to combine the proper weight training and nutrition with these drugs. The exercise business is going to get a win out of it.”

Further, Akradi points out that weight loss customers spending $500 – $1000 a month on drugs like Ozempic and Wegovy will want the proper facilities, professional personal trainers and nutritionists to support their health investment. He also sees those who have lost weight becoming more comfortable attending Life Time clubs. 

“Lifetime is uniquely positioned because, in every market, we have facilities where we can launch Miora Clinics for longevity, for addressing weight loss, peptides, all of that,” he said. “We look at this as nothing but an upside.”

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Life Time has issued intriguing findings, the results of a 2024 fitness survey examining consumers’ current mood and approach to fitness and well-being. 

Compiling the responses of nearly 3,000 survey participants, the luxury fitness and lifestyle operator has stumbled upon some noteworthy and promising changes in the wellness landscape, namely an almost 30% increase in consumers aiming to prioritize their health and well-being this year when compared to 2023. 

Instead of working towards six-pack abs, 51% of consumers are mainly focused on putting in the work to live health-abundant lives so they can participate in their preferred hobbies and activities with gusto. 

In contrast, only 9% report prioritizing health and wellness to improve their appearance — an interesting finding when juxtaposed with the rising demands of the GLP-1 sector. Still, weight loss remains a key priority area, with 36% of respondents admitting they would give up social media forever if it meant losing ten pounds.

Life Time is also leaning into the weight loss medication space and longevity therapies with the launch of Miora Longevity and Performance Clinics.

Strength Training & Stress Relief

One statistic that likely comes as no surprise is that strength training remains a leading interest in 2024, with LifeTime finding that building muscle is the number one goal this year for nearly 36% of respondents, an increase of over 3% from 2023. Following muscle gain goals is losing weight and simply moving more.

Life Time’s findings also hint that consumers may be using their workouts to escape, perhaps in response to the increased remote work. While exercising has proven stress-reduction benefits, it’s also become a time when over 77% of respondents say they avoid all work emails and calls, with 90% reporting they rarely, if ever, engage in work while working out. 

Fitness has also shown some shifts, with 45% reporting they exercise 4-5 times a week. Just over 50% of respondents revealed they have an equal mix of cardio and strength training, while 18.2 are mostly cardio-focused. On the other hand, 15.6% say they are solely focused on strength-based training.

Recovery & Stretching Surge

Life Time’s survey also indicated that saunas, cold plunges, and stretching are all preferred post-workout recovery modalities for fitness enthusiasts, with 36.2% taking multivitamins as their preferred supplement, followed by protein powder (23.6%). 

The luxury fitness operator recently unveiled a new dynamic assisted stretching program that packs promise, with Life Time founder and CEO Bahram Akradi believing it offers a $50-million-dollar opportunity.

“Personal health is our best defense to live longer and perform better both physically and mentally, and Life Time is unwavering in our approaches to meet members where they are, helping them to live healthy, happy, and fulfilled lives via our best places, programs, performers and experiences,” said Jeff Zwiefel, Life Time president and COO.

The Rise of Wellness Real Estate

Life Time is also tapping into the wellness real estate market; wellness has become a primary motivator for consumers interested in purchasing real estate, notes Global Wellness Summit chair and CEO Susie Ellis. It’s also the fastest-growing sector in the wellness economy, especially as consumers are now spending more time at home.

As Life Time continues to open new clubs, it’s also branched out into healthy living villages with “luxury-to-lease” residences in places like Stamford, Connecticut, Coral Gables, Florida, Burlington, Massachusetts and Green Valley, Nevada. Offering a wellness-centric approach, the living villages feature green spaces, outdoor gaming and meditation areas, special work-from-home and lounge spaces and complimentary access to its athletic country clubs with group classes and training, indoor and outdoor pools, pickleball and basketball courts.

An exclusive resident concierge program is also available, with customized weekly meal prep delivery, personal training, wake-up calls, nutrition coaches and massage therapists.

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Luxury lifestyle and fitness operator Life Time, which is gearing up for its seventh location in Colorado amid other recent expansion moves, is expanding its multi-year relationship with performance footwear and apparel brand Hoka, crowning the brand as the official sponsor of the Life Time Miami Marathon on January 28. The two entities first partnered in 2018.

The apparel and footwear brand is also the official sponsor of select Life Time group classes and group training programs, such as GTX, MB360, Ultra Fit and Dynamic Personal Training. Hoka has also been tapped to sponsor Life Time’s annual cardio party with classes and “social hour” elements at Life Time destinations.

“It’s been phenomenal to hear how Hoka has impacted the performance of our members, coaches, and trainers, and to see the success of this multi-faceted strategic partnership as we grow both of our brands,” said Kimo Seymour, president of Life Time Events. “We have created an incredible synergy between Life Time and Hoke, and it’s one we are very excited to continue as we collectively promote a healthy way of life and provide tools to help people achieve their wellness goals and aspirations.”

As for other Live Time events, Hoka will continue to serve as a presenting sponsor and official running shoe of the Chicago Half Marathon.

Life Time x Hoka Events

Perhaps most noteworthy is that Hoka will host pop-up shops and experiences for Life Time members and non-members at select clubs and other athletic events during the year, where participants can try Hoka shoes and gear. 

Bahram Akradi, Life Time’s founder and CEO, had indicated last October that the fitness operator would lean into retail initiatives in 2024 through apparel and nutritional sales. 

“I don’t really like to have any seasonal drops,” Akradi told investors of the push for retail initiatives to offset any expected declines.

The luxury fitness operator also launched a new video series, “Reveal Your Potential,” to demonstrate the power of Life Time and Hoka in training and overall wellness. The video series is being shared in Life Time clubs, online and in print. 

In one story, “Striving to be a Champion,” Mya Hooten, a gymnast competing for the University of Minnesota, discusses her love for athletics and how she pushes through training even on the most challenging days.  

Expanding in Colorado, Nationwide

As Life Time extends its partnership with Hoka, the operator also continues its aggressive pace of expansion nationwide. Against the mountainous landscape of Wheat Ridge, Life Time is opening its seventh location in Colorado in Q1. A waitlist is now available for the upcoming 111,000-square-foot club, Life Time Denver West, which features a massive workout floor, resort-style pools, indoor and outdoor pickleball courts and 100+ fitness classes. 

For those looking to blend a healthy lifestyle while on the clock, the upcoming Wheat Ridge club will be the first in the state with a Life Time Work Lounge, a fee-based amenity that offers sit-to-stand desks, tables, library-like seating, a conference room, printing and other modern office functions. 

An eighth Colorado Life Time club is slated to open later this year in Boulder. As for the rest of the nation, Life Time has plans to expand with eight other luxury clubs in New York, New Jersey, Georgia, Texas and California.

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Life Time members may appreciate the luxury club operator’s amenity-rich experience, but investors suddenly seem hesitant to jump into the eucalyptus-scented steam rooms, as seen by shares of LTH diving 15% last week in response to its third-quarter results. 

Although Life Time reported a 17.9% revenue increase to $585.2 million and a 7.6% membership boost of 56,602 compared to Q3 of last year, looming macro factors may be at play, such as rising interest rates and higher-than-average member pricing possibly resulting in churn.

Still, in spite of a challenging economic backdrop, Bahram Akradi, Life Time founder and CEO, is committed to investing in a premium membership experience. It’s a method that has paid off before — Life Time’s strong member base and revenue trends led to an upgraded credit rating by Moody’s Investor Service. 

While other fitness operators were left gutted in the wake of the pandemic, Life Time continues to grow, opening new facilities including Penn 1 in New York City, indoor pickleball courts and even Life Time Living residences. In NYC alone, Life Time is opening three additional locations next year. In Q3, Life Time opened six new centers in addition to the ten it opened in the first nine months of the year.

Revenue, Membership Numbers Trend Upward

Most notably, the luxury lifestyle operator has reported strong growth in membership sales and member engagement without depending on marketing or promotions.

“Our investments in programming are working to increase member engagement at our clubs with average member visits up 24 percent versus 2019,” Akradi told investors on Life Time’s recent Q3 earnings call.

He added that Life Time is also on a path to becoming free cash flow positive by the middle of next year, two years ahead of schedule. 

Life Time Embraces Weight Loss Meds

As Life Time continues to provide recovery and boutique-style wellness offerings for its members, the fitness operator has revealed it’s contemplating tapping into the popular GLP-1 weight loss medication industry with a comprehensive in-house program. 

The reason? Life Time’s members are looking to incorporate GLP-1s with their in-club experience.

Jeff Zwiefel, Life Time president and COO, told CNBC that the company is in the process of embarking on a pilot program to evaluate the “use and deployment of physicians, physician assistants and nurse practitioners” that would work together with a member’s primary care doctor and Life Time’s personal trainers and registered dieticians.

Over the summer, Akradi commented on the soaring weight loss medication sector, predicting that Life Time would remain unaffected by consumers who jump-start weight loss with GLP-1s such as Ozempic and Wegovy.

“We have fewer people joining (Life Time) for weight loss,” he told investors on a Q2 earnings call earlier this year, adding that the athletic club hasn’t seen a difference in memberships because of the availability of weight loss medication. 

Akradi added that if Life Time was purely a fitness company, there would perhaps be an impact on GLP-1s. However, since the brand offers a broad country club-esque experience with its programs, beach clubs, social gathering opportunities and small and large group classes, he surmised that Life Time isn’t concerned.

While not necessarily a change of heart, incorporating GLP-1s may strengthen investors’ outlook on Life Time, especially as the weight loss medication market is expected to reach $100 billion by 2030. 

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Life Time has reported its Q3 2023 earnings, posting a revenue increase of 17.9% to $585.2 million and a membership increase of 7.6% (55,602) when compared to the prior year’s third quarter. 

The amenity-rich luxury lifestyle club operator opened six new centers during the third quarter in addition to the ten it opened in the first nine months of the year. In the fourth quarter, Life Time expects to open two new centers. 

“I am very appreciative of our team and the milestones we achieved this quarter,” commented Bahram Akradi, Life Time founder and CEO. “We generated record levels of revenue and Adjusted EBITDA, and our trailing 12-month Adjusted EBITDA surpassed $500 million for the first time in our history. Our investments in programming are working to increase member engagement at our clubs with average member visits up 24 percent versus 2019.”

Free Cash Flow Positive By ’24

Akradi noted that as Life Time looks to next year, the fitness and lifestyle operator expects to be free cash flow positive after all capital investment, including new club growth, by the middle of 2024 — two years earlier than initially anticipated. 

“With expectations for continued Adjusted EBITDA growth and significant asset-light opportunities, we expect to fund our targeted growth in 2024 and beyond with internally generated cash flow. We are well positioned for continued success,” he continued.

New Services & Offerings

One aspect that Life Time has identified as a $50 million dollar opportunity is its new Dynamic Stretching offering, a personalized, one-on-one assisted stretching service provided by certified personal trainers. The program is an expansion of Life Time’s Dynamic Personal Training.

“It helps our trainers, engagement with the customers, it helps the pickleball customers… I mean, it’s just a really great program,” Akradi said. While he’s pleased with the rollout and progress of Dynamic Stretch, Akradi says the “bigger impact” will show up in 2024.

Life Time also continues to expand its boutique-style offering of health, recovery and relaxation services for its members, such as pools, whirlpools, saunas, eucalyptus-scented steam rooms, Hyperice Normatec recovery tools, HydroMassage and CryoLounge+ chairs from WellnessSpace Brands, and Hyperice Hypervolt portable percussion massagers.

The investments in Life Time member experiences have paid off: visits per membership are up approximately 24% through the first nine months of 2023 compared to the first nine months of 2019, Akradi told investors. 

As it looks ahead, Life Time will lean into retail initiatives to offset expected declines in its business. 

“I don’t really like to have any seasonal drops,” Akradi said. “So we’re trying to find ways to add additional sales through programs, not services in the clubs, but sales of apparel and nutritionals, and that rollout has been delayed now to early 2024.”

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Life Time has leaned further into its wellness and recovery ambitions by partnering with WellnessSpace Brands, formerly HydroMassage. The announcement follows Life Time’s new Dynamic 30-day wellness challenge, created to simplify fitness, nutrition and wellness.

The deal introduces Life Time Dynamic Personal Training members to WellnessSpace Brands’ recovery and relaxation products such as its HydroMassage heated massage lounge recovery chairs and CryoLounge+ recovery chairs with cold and heat features. Members will also have access to RelaxSpace Wellness Pods, providing a multi-sensory experience for stress reduction.

While WellnessSpace Brands products are currently found in 30 Life Time facilities, the partnership will expand its product footprint into the majority of Life Time locations across North America by the end 2024.

“It’s great to see leaders in the fitness industry like Life Time fully embracing wellness and recovery, and making technology like HydroMassage, CryoLounge+, and RelaxSpace Wellness Pod a key part of the member experience,” Kevin Conaway, president of WellnessSpace Brands, told Athletech News. “We’re proud to be selected as an official recovery partner for Life Time Dynamic Personal Training.”

Life Time’s Dynamic Personal Training sessions currently offer a warm-up, customized coaching and recovery, nutrition, exercise and lifestyle guidance. Wellness Space Brands will support the luxury lifestyle operator’s holistic approach to health as demand for such services surges.

“More and more athletic and fitness clubs have realized that recovery and wellness products aren’t a luxury – they’re a necessity,” said Paul Lunter, WellnessSpace Brands CEO and founder. “Life Time is recognized as the nation’s premier healthy lifestyle brand, and we are excited to be collaborating with them for this partnership.”

WellnessSpace Brands has also been named an official sponsor of the Life Time Miami Marathon on January 28, 2024, and a sponsor of the Life Time Sea Otter Classic cycling festival on April 18-21, 2024.

Life Time is also pushing into assisted stretching, introducing Dynamic Stretching services for its clients. All of its offerings have paid off, with the luxury club operator reporting strong Q2 results and increased membership metrics. 

Despite its premium price point, Bahram Akradi, founder and CEO of Life Time, maintains that the brand’s amenity–rich approaches have resulted in a loyal member base, who are happy to pay for a membership in exchange for Life Time’s sense of community and top-class offerings. Impressively, the operator continues to see strong membership growth without marketing, promotions or sales efforts.

“Our strong quarter further validates that all of our strategies are working and contributing to our success,” Akradi told investors earlier this summer. “Our focus has been working on desirability in clubs, and it’s working.”

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Connecticut residents will now have a chance to experience Life Time’s healthy living lifestyle, as the luxury athletic country club operator has just opened its first location in the state, in downtown Stamford.

The 62,000-square-foot facility comes complete with a rooftop beach club and 290 luxury residences available for lease. The new club, located at 130 Tresser Boulevard, provides direct access to Stamford Metro North Station and I-95. The new Connecticut location follows Life Time’s concept of blending health, community and convenience, as seen with its Penn 1 location in New York City.

“Building on the incredible success we’ve experienced with our destinations in New York and New Jersey, we’re very excited to open our first development in Connecticut,” said Parham Javaheri, Life Time chief property development officer. “This project is the result of the tremendous performance of our Life Time and Life Time Living brands and a strong partnership with RoeCo, LLC. The turn-key delivery of the athletic club lease also aligns with our asset-light growth strategy.”

Life Time’s Stamford club offers six studios hosting barre, cycling, high-intensity, Pilates, strength training and yoga classes, a fitness floor designed for cardio and resistance training, and a dedicated small group training area. 

In addition to its fitness offerings, Life Time Stamford includes the brand’s signature amenities, such as steam and saunas in its dressing rooms, LifeCafe, a rooftop beach club with a lap pool and LifeSpa massage services.

“We look forward to serving this new community with our unmatched array of healthy living, healthy aging programs and services that foster healthy, socially connected and environmentally conscious lifestyles for both members of Life Time and residents of Life Time Living,” Javaheri added.

For those who opt to buy into the complete Life Time lifestyle, residents can enjoy living in a 10-story building, selecting from one, two or three-bedroom units ranging in size from 540 square feet to over 2,000 square feet. While Life Time membership is open to the public, its residents receive full access to the Stamford club and all 170 Life Time clubs in North America. 

Other amenities for Life Time Living residents include access to community spaces and an exclusive penthouse floor with a private dining room, posh work-from-home areas, a golf simulator, lounge and bar area, sundeck and a special area designated for pets.

Despite its relatively high monthly price tag, Life Time continues to experience strong membership growth, recently reporting revenue of $561.7 million for the second quarter, a 21.8% increase from the $461.3 million it posted in Q2 last year.

The reason? Its amenity-rich offerings, according to Life Time founder and CEO Bahram Akradi. Further listening to members and monitoring fitness and wellness trends, Life Time recently added Dynamic Stretching to its personal training program and is committed to providing pickleball players with dedicated courts to meet the needs of the popular net sport.

“Our focus has been working on desirability in clubs, and it’s working,” Akradi told investors. “We entered the third quarter with great momentum as we are delivering extraordinary member experiences. Our company is on a solid footing and well positioned for long-term success.”

The lifestyle operator recently earned a credit rating boost from Moody’s Investor Service thanks to its solid membership growth and performance. 

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Life Time is running with its ongoing personal training success, introducing Dynamic Stretch in its luxury athletic country clubs. The latest offering provides Life Time members with personalized, one-on-one assisted stretching services from certified personal trainers, an expansion of the operator’s Dynamic Personal Training program.

Aside from membership dues, Life Time has revealed personal training is its biggest revenue source.

Dynamic Stretch sessions will provide members a chance to reduce muscle tension and stress, prevent injury, improve posture and increase flexibility. Danny King, master personal trainer at Life Time, sees assisted stretching as a crucial component of overall wellness.

“Stretching is often the missing ingredient in an optimal fitness and self-care program, and Dynamic Stretch is a game changer for increased mobility, prevention and recovery based on our Dynamic Personal Trainers’ knowledge, certifications and experience,” King said. “Life Time leads the industry in hands-on coaching to help members achieve their goals and now, with Dynamic Stretch, we know we will help people in ways they didn’t know possible.”

The new Dynamic Stretching is part of Life Time’s Dynamic Personal Training program, but members who aren’t working with a trainer can opt for a 25 or 50-minute session to experience active and passive stretches, range of motion work and breathing exercises. Members will also have access to recovery tools that accelerate recovery and can tailor their overall stretching experience based on their needs and goals. 

The stretching sessions are the latest addition to Life Time’s broad range of health, recovery and relaxation services for its members, which includes pools, whirlpools, saunas, eucalyptus-scented steam rooms, Hyperice Normatec recovery tools, hydro and cryo massage chairs and Hyperice Hypervolt portable percussion massagers.

From September 16 to 18, all Life Time club locations will host complimentary walk-in or pre-scheduled 30-minute Dynamic Stretch sessions for members to try the hands-on stretching and recovery exercises.

The luxury athletic country club operator just opened the doors to part one of its posh Penn 1 facility in New York City, featuring its signature boutique fitness studios, personal training offerings, recovery areas and saunas. Phase two will see seven indoor pickleball courts open early next year. Three additional NYC club locations are planned – The Brooklyn Tower, Brooklyn Crossing and Park Avenue South.

Life Time has seen strong growth in membership sales without using marketing or promotions and reports there has been no resistance to its relatively high pricing structure, which the company attributes to its focus on increasing and improving programming rather than implementing cost-cutting measures.

The luxury club operator’s credit rating recently received a credit rating boost from Moody’s Investor Service due to strong performance, membership growth, revenue and positive EBITDA trends. 

Bahram Akradi, Life Time’s founder and CEO, recently told investors that all of Life Time’s strategies are working. The company posted revenue of $561.7 million for the second quarter of fiscal 2023, a 21.8% increase from the $461.3 million it posted in Q2 of last year.

“Our focus has been working on desirability in clubs, and it’s working,” Akradi stated on Q2’s earnings call. 

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Life Time has boosted its pickleball portfolio, announcing Life Time Pickleball Chanhassen in Minnesota, the luxury athletic club operator’s first ground-up pickleball location in the U.S.   

The new facility will sit adjacent to the Life Time Chanhassen club in Minnesota and is expected to open early next year, boasting eight indoor and seven outdoor courts, a viewing area, a lounge and dressing rooms.

Life Time confirms it’s seeking additional locations for its pickleball endeavors to hit its goal of 1,000+ courts by the end of 2024. While it may sound like a lofty goal, the country club operator is filling a much-needed white space in the U.S., as a recent report from the Sports & Fitness Industry Association (SFIA) and Pickleheads found that a $900 million investment and 25,000 courts are required to keep up with the ever-increasing demand for pickleball. 

“Life Time has been all-in on pickleball since 2021 and we aren’t slowing down as our members, and new members, continue to demonstrate their growing passion for this sport in Minnesota and beyond,” said Bahram Akradi, Life Time founder and CEO. “We’re committed to delivering the best experiences and serving our members with unmatched places and programs that help them live healthier, happier lives.”

Minnesota has proven to be a pickleball hotspot for Life Time, which currently operates over 60 permanent courts across 12 of its Minnesota clubs. The luxury lifestyle operator says over 250,000 pickleball enthusiasts have enjoyed the popular net sport on its Minnesota courts this year.

Aside from providing an enjoyable pastime for fans both young and old, Life Time has forged a relationship with Major League Pickleball and the Professional Pickleball Association to host tournaments featuring the world’s top pickleball players. 

Life Time has also implemented DUPR (Dynamic Universal Pickleball Rating), an inclusive and accurate rating system and launched The Pickleball Classic, its own tournament series.

The club operator recently announced that its issuer credit rating from Moody’s Investor Service upgraded to a B3 due to its improving performance, including strong membership and revenue growth.

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