Third Space announces new partnership

With ambitious plans to take its unique luxury health and wellness offer to more London locations, Third Space has entered into a new partnership with an affiliate of KSL Capital Partners (KSL).

Acquiring a majority interest in the company from Encore Capital, private equity firm KSL was an original investor in the luxury health and fitness brand in 2004.

London-based investment firm Encore Capital will remain a ‘significant investor’ in the company.

Colin Waggett, CEO of Third Space, said, “Our brand has never been in more demand from landlords looking to differentiate their developments, and we are excited at the prospect of taking Third Space to more parts of London. We have committed investors in Encore and with the addition of KSL, we are uniquely placed to capitalise on these opportunities.”

Shirin Gandhi, partner at Encore Capital, added: “We love the Third Space business, are proud of how the brand has been built over the last 10 years, and believe in its future potential.”

Launched in 2001, Third Space offers a high-quality fitness and wellness experience in its portfolio of six clubs in iconic London locations that employs 600 full-time staff.

Martin Edsinger, Principal at KSL, said: “Third Space’s mission and growth plan align perfectly with KSL’s long history of investing in differentiated, experiential hospitality and wellness brands that are committed to people and community impact.”

In addition to its clubs, Third Space will launch at Number One Curzon St in London’s Mayfair later this year.

The financial terms of the transaction were not disclosed.