Millennials desert Dubai super gyms in ‘Dodgeball’ rerun

Small independent fitness clubs are springing up in Dubai to challenge more established chains. (Reuters)
Updated 10 July 2017
0

Millennials desert Dubai super gyms in ‘Dodgeball’ rerun

DUBAI: Millennials living in Dubai are turning their rippled backs on big gym chains in search of a more sociable workout closer to home.
It has led to a surge in smaller studios offering spin, high-intensity interval training (HIIT) and boot-camp sessions.
The trend threatens the dominance of large fitness chains, which have expanded rapidly across the UAE over the last decade.
It is a narrative that could have been plucked from the 2004 comedy movie “Dodgeball,” which casts the Average Joe protagonists against Globo Gym.
Alison Ramsay, a director of Smart Fitness, based in the Jumeirah Lake Towers district of Dubai, says gyms are no longer about flexing your biceps in the mirror.
Jumeirah Lake Towers is home to more than a dozen small independent gyms specializing in everything from Pilates to pole-dancing.
“We describe ourselves as (a) boutique gym. It’s very personal and social, not posey,” she said. “More people are coming to gyms to look for a social experience and to meet like-minded people. They don’t want to join a big corporate gym and do the same boring workout.”
Set up five years ago, Smart Fitness is one of the older independent fitness clubs in the area, which is home to thousands of expatriates, many of whom can be seen in the early mornings and evenings exercising outdoors.
Millennial tenants seeking to live, work and play in the same location are driving demand for smaller clubs, says property broker Core Savills.
“This has led to a spike in inquiry levels for retail within office buildings,” the broker said. “Boutique workout studios, conveniently located within commercial buildings, usually offer innovative and intense workout classes in a structured 45-minute format.”
Smaller gyms are also able to generate better returns, paying even higher rents because of their more limited space requirements.
Core Savills says bigger gyms may only be profitable paying rents of up to 100 dirhams ($27) per square foot, compared to a boutique brand paying up to 300 dirhams per square foot but for a much smaller space.
That is good news for commercial landlords of empty units typically located on the ground floor of residential tower blocks dotted around the city.
The UAE retail sector is expected to come under further pressure over the next two years with the addition of 900,000 square meters of space, according to data from estate agency Knight Frank.
Fitness First, the world’s largest privately owned health club group, is the market leader in the UAE with 33 clubs nationwide, most of them in Dubai. The group was not immediately available for comment.


Siemens CEO pushes plans to boost Iraqi power infrastructure

Updated 23 September 2018
0

Siemens CEO pushes plans to boost Iraqi power infrastructure

FRANKFURT: Siemens said its boss Joe Kaeser met Iraq’s prime minister on Sunday to discuss a proposal by the German company to expand the Middle East nation’s power production.
The German engineering group said it was proposing a deal to add 11 gigawatt (GW) of capacity over four years, saying this would boost the country’s capacity by nearly 50 percent.
It did not give a value, but such a contract would be worth several billion euros based on previous comparable deals.
Iraq has a wide gap between electricity consumption and supply. Peak demand in the summer, when people turn on air conditioners due to high temperatures, is about 21 GW, far exceeding the 13 GW the grid is currently provides, experts say.
Kaeser said in a statement after meeting Prime Minister Al-Abadi that they had “discussed the comprehensive Siemens roadmap to build a better future for the Iraqi people.”
“In Egypt, we have done the same and successfully built up the power infrastructure in record time with the highest efficiency,” he said.
In 2015, Siemens signed an 8 billion euro ($9.4 billion) deal with Egypt to supply gas and wind power plants to add 16.4 gigawatts of capacity to the country’s power grid, marking the group’s single biggest order.
The proposal for Iraq, first pitched in February, would include cutting Iraq’s energy losses, introducing smart grids, expanding transmission grids, upgrading existing plants and adding new capacity.
The group would also help the government secure funding from international commercial banks and export credit agencies with German government support, creating thousands of jobs in Iraq.
Siemens would donate a $60 million grant for software for Iraqi universities, it said.