- The deal follows OakNorth’s original £38.5m co-lend in June 2023, reaffirming its long-term partnership with Third Space and confidence in the group’s strong growth trajectory and operational delivery;
- Third Space has grown to 13 high-end clubs across London, with the very successful recent openings demonstrating the group’s disciplined expansion strategy, and the underlying latent demand for their proposition
- The capital from OakNorth will support the roll-out of new sites, helping the brand meet growing demand for premium, experience-led fitness & wellness spaces.
Monday 6 October 2025, London, UK: OakNorth – the digital bank for entrepreneurs, by entrepreneurs – has provided a £75m leveraged finance loan to Third Space, London’s premium fitness & wellness operator backed by KSL Capital Partners.
This new facility refinances a portion of the existing capital structure and provides a £25m capex facility to support Third Space’s expansion into new locations, including Oxford Street, Queen’s Park, and Chelsea among others. It is OakNorth’s largest leveraged finance loan to date.
This is the second transaction OakNorth has completed with Third Space, having previously supported the Group’s development of five new clubs under the original funding round in 2023. The business has since grown to 13 premium clubs, with over 42,000 members and a well-established reputation as London’s leading premium fitness & wellness brand, offering best-in-class facilities, equipment, and member experience.
The additional capital from OakNorth reflects Third Space’s strong performance, which has seen revenues increase by more than 90% since 2022, alongside robust site-level profitability and successful new club openings. Over the next years, the business will continue to expand in key residential and business locations across London, aligned with growing demand for premium, experience-led health and wellness spaces.
Colin Waggett, CEO of Third Space, commented: “This transaction marks another important milestone for Third Space as we scale across London. OakNorth has been a consistently supportive and engaged partner – quick to understand our model, agile in execution, and committed to our long-term vision. With their support, we’re well-positioned to bring the Third Space experience to even more communities.”
Deepesh Thakrar, Managing Director of Debt Finance at OakNorth, continued: “We backed Third Space in 2023 based on the strength of the management team, brand, and strategy – and they’ve since exceeded every benchmark with waiting lists at every one of their sites. Revenue, EBITDA, and member growth have all outpaced expectations, while maintaining premium service standards and disciplined capital deployment. With club locations in Soho, Marylebone, Canary Wharf, Moorgate, Tower Bridge, and several new sites under construction, Third Space continues to differentiate through high-spec fit-outs, dynamic class programming, and flexible membership structures designed for a discerning, urban clientele. We’re excited to deepen our partnership and support the next phase of expansion with this facility.”
Martin Edsinger, Partner at KSL Capital Partners, said: “Third Space is the best-in-class operator in the fitness and wellness space in London, with an outstanding management team that has built a truly unique premium brand. The market is clearly very buoyant as demonstrated by continued consumer spend on health and fitness, at both the value and premium ends of the market. With strong structural tailwinds supporting growth in health, wellness, and fitness, Third Space is exceptionally well positioned to continue its growth trajectory.”
ENDS
Notes to editors
About OakNorth
Launched in September 2015 and founded by entrepreneurs, OakNorth is a digital bank focused on serving and empowering the lower mid-market (businesses with £1m-£100m in turnover), that are seeking to scale but are routinely underserved or overlooked by traditional banks.
To date, it has provided $18bn to these businesses across a wide range of sectors, achieving performance metrics that place it amongst the top 1% of commercial banks globally. Its loans have directly contributed to the creation of 58,000 jobs, and over 36,000 new homes across the UK and the US – the majority of which are affordable and social housing.
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit www.oaknorth.co.uk for more information.
For press inquiries, please email: [email protected]