Luxury gym chain Third Space muscles up with record revenue ahead of potential sale
Luxury gym operator Third Space has grown its turnover by more than a third, topping £100m for the first time, as City workers flock to the upmarket health club.
The gym provider notched a 36 per cent bounce in revenue to £135m in the year to December 2025, while its pre-tax profit rose by more than two-thirds to £19m.
Third Space markets itself to high-earning corporate workers and operates several sites in the Square Mile, including Tower Hill, Moorgate and Paternoster Square. Individual Third Space memberships start at £257 per month, plus a £100 joining fee, and group memberships can cost as much as £345 per month.
The gym provider offers state-of-the-art gyms, bespoke nutrition plans and recovery treatments like massages and sound baths.
“2025 was a positive year for the business, as it saw continued growth in membership levels and profitability,” the group’s directors said. “The business continued to invest in various capital investment projects and in the service proposition delivered to members.”
Third Space aims to appeal to wealthy City workers through its “Tuned into London” strategy, which focuses on “being culturally relevant to our members,” according to its accounts. The group operates 15 gyms in London and says it plans to double this number by the end of 2031.
The bounce in revenue comes ahead of a reported sale process set to begin later in 2026. Permira, a buyout firm that has invested in Dr Martens, Hugo Boss and Valentino, is among the bidders pursuing a £700m takeover of Third Space, Sky News has reported.
‘Exceptional’ demand for memberships
The gym provider said it plans to “continue investing in the development and expansion of its club portfolio across London” over the coming year.
Last year, chief executive Colin Waggett said: “We are seeing exceptionally strong demand for Third Space memberships, with most of our clubs are operating with waiting lists.
“Our business sits at the heart of Londoners’ desire for health and fitness, authentic experiences and luxury service, and Third Space is uniquely positioned to meet these demands.”
Third Space has been owned by KSL Capital Partners since 2021, an American private equity firm that invests in the leisure, hospitality and travel industries.