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Coronavirus: Hong Kong fitness chain blames ‘unrealistic rent’, social-distancing toll in closing last branches
- Goji Studios had eight outlets before its Whampoa branch became the first to close amid the Covid-19 pandemic in September 2020
- The company has been sued multiple times after falling behind in rent and was unable to strike a deal with its remaining landlords
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A troubled Hong Kong fitness chain has closed its four remaining branches, citing “unrealistic rents” and social-distancing regulations that crippled the industry during the coronavirus pandemic.
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Goji Studios said it would facilitate the transition of memberships to another chain, Physical Fitness and Beauty, which has 20 branches in the city.
“As the government tightened social-distancing measures last year, many businesses were restricted from operating, and fitness centres were forced to close for several months,” Goji Studios said in a Monday statement on its Facebook page.
“The severe disruption of operations coupled with unrealistic rents in the market greatly increased the burden [on] fitness centres.”
The fitness centre said it had been in the process of negotiating rental contracts with its landlords over the past months but had been unable to reach a consensus.
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It also said it was unable to raise enough funds to maintain operations.
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