Hull Globo Gym suddenly closes leaving some members out of pocket and others with kit still in lockers

A Hull gymnasium with hundreds of users closed suddenly, leaving members stunned and out of pocket.

Members of Globo Gym at the North Point Mall received a surprise email on Sunday saying the gym would be closing permanently and fitness equipment would be auctioned off. Some people still had their belongings in the lockers and had a direct debit payment withdrawn from their bank just two days before closing.

Earlier this year, landlords claimed they had been hit by Covid lockdowns and a monthly rent increase at North Point Shopping Center from £2,000 to £7,000 a month, leaving the business in debt. Globo Gym also claimed that their membership numbers had fallen below the 650 people needed to keep Bransholme Gymnasium afloat.

In a statement after the closure, North Point said it supported all of its tenants, but said the viability of individual businesses was not its responsibility.

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A disappointed gym member who got in touch with Hull Live said: “I mainly use it (Globo Gym) from 5.30am to 6.30am and normally see over 20 people coming and going. They also do popular classes and there has a lot for kids in this neighborhood.

“We were told in person on Wednesday that the owner was closing the business and everything was going to be auctioned off. The manager told us it might be related to North Point’s rising costs.”

Globo Gym at North Point Mall permanently closed on Sunday

Another gym-goer, who asked not to be named, was also told by a member of staff that the gym was to close, so he canceled his direct debit early. He said: “We received an email two days before it closed. They said it was because the rent had gone up and they couldn’t afford to keep it open. loss.”

When asked if he had received any information about membership payments already made, he added: “They told us to cancel our direct debits, that’s all, nothing was mentioned regarding refunding money for the rest of this month. I already canceled mine a while ago because a member of staff got the idea that it was closing.”

Globo Gym's statement to members saying it was
Globo Gym’s statement to members saying it was “the end of the road”

Unfortunately, not everyone was so lucky. A woman and her partner had left their belongings in the gym lockers and had both paid the £30 membership fee just two days before Globo Gym closed.

She said: “My partner got an email but we couldn’t access his emails at the time. Someone else told me about the closure but I wasn’t happy because they knew they were going to close and took payment from people, which I think is not true.”

She said £60 was taken from her partner’s account to cover membership for the two of them on May 13. They then received an email confirming the closure on May 15 and were unable to get their money back from the bank. They managed to get their things back, but it’s unclear if they’ll receive their payment from the gym.

Globo Gym’s email to customers this weekend read: “Unfortunately today is the end of the road for Globo Gym. We appreciate this will be bad news for many, including us, but we have been pushed into a corner by the owner with ever-increasing, excessive costs and an aggressively procedural attitude.

“A small business relies on member income to pay its bills and as such, approximately 650 timely and consistently paying members are needed to simply pay rent, wages and utility costs. We fell into below that number a few weeks ago and had to invest our own money to pay salaries for the past two months.

“This is obviously not viable in the long term and as the owner is unwilling to compromise or consider offering more reasonable terms, we had no choice. We would like to take this opportunity to thank you for your kind support over the past few years, without which we would not have come this far.

“If you haven’t already, please cancel your direct debit as all subscriptions are now cancelled.”

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The message to customers followed another that came earlier in the year, where the owners of Globo Gym raised the price of membership due to a rent increase and the effect of the pandemic. Their reasons for the price hike were explained in the following statement: “Over the past year we have had a lot of debt to clear from the Covid shutdown (almost £60,000).

“During this period we have seen our rent go from £5,000 per month to £7,000 per month, with no breaks or reductions during the lockdown. This is before calculating bills, repairs and also trying to obtain new equipment for our members.

“As an independent family business, it’s not as easy as a national chain to meet overhead costs, stay afloat and keep staff on the decent pay they deserve.”

A North Point Shopping Center spokesperson said: “We were surprised to learn of the closure of Globo Gym. We are always working to support our tenants and help them meet their rental commitments should they find themselves in a temporary cash crisis.

“Unfortunately there is not much we can do if a tenant decides their business model is no longer financially viable.”

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