Empire Portfolio Group Acquires 11 Orangetheory Fitness Studios Plus Area Development Rights in Northern Virginia and Washington, D.C.
Posted: September 21, 2021 in Chains
Orangetheory Fitness
NEW YORK, N.Y. – Empire Portfolio Group (“Empire”), a leading Area Developer and Franchisee of Orangetheory Fitness, the heart rate-based interval training fitness franchise, announced it has acquired eleven studios and the area development rights in Northern Virginia and Washington, D.C. The sellers include Alan Luchnick and Steve Kolakowski.
This transaction marks Empire’s fourth acquisition since partnering with Revelstoke Capital Partners (“Revelstoke”) in December 2020 and strengthens Empire’s position on the East Coast, which now includes a total of over 120 studios across nine states and Washington, D.C.
“We are excited to join forces with the Northern Virginia and Washington, D.C. markets as we take another step on our growth journey. Their operating expertise and devoted member base are complementary to the Empire platform, and we look forward to expanding our Orangetheory footprint to more communities in the area,” said Empire’s CEO, Adam Krell.
This partnership also provides Empire with the ability to develop new studios and oversee current franchisees in the Northern Virginia and Washington, D.C. areas. Empire’s partnership with Revelstoke has the dual mission of expanding career opportunities to current and future staff and increasing access to the Orangetheory Fitness trifecta of science, coaching and technology to its growing membership base.
“Empire’s pace of growth in the first year of our partnership aligns with our strategy and builds upon the Empire legacy with the goal of building the premier Orangetheory franchisee in the system,” said Simon Bachleda, Co-Founder and Managing Partner of Revelstoke.
“We opened the first Orangetheory Fitness studio in Northern Virginia in 2013, and since then, our area has grown to over 45 locations, with our 11 locations serving more than 7,000 members. We strongly believe in the quality of the service we are providing and are proud of the locations we have developed over the last eight years,” said Mr. Luchnick. “We ultimately chose to sell to Empire Portfolio Group because they are closely aligned with the values of our team, and they are the best fit to continue the growth and expansion of Orangetheory Fitness in the region. Our locations and people are in great hands with Empire,” said Mr. Kolakowski.
Winston & Strawn LLP acted as legal counsel to Empire. The sellers were represented by Farlie Turner & Co. as financial advisor and J2advisors as legal counsel.
