COUNCIL PUTS GYMS UNDER THE PUMP
TWO dozen small gyms say they will have to close or cough up thousands for bureaucratic red tape they never knew existed. The Gold Coast City Council has issued show cause notices to 23 gyms for operating “indoor sports and recreation’’ businesses in industrial areas. Although gyms are permitted in the zone, the council requires owners to submit a development application and impact assessment.
TWO dozen small gyms say they will have to close or cough up thousands for bureaucratic red tape they never knew existed.
The Gold Coast City Council has issued show cause notices to 23 gyms for operating “indoor sports and recreation’’ businesses in industrial areas.
A string of complaints from one individual against tiny gyms in industrial areas across the Gold Coast triggered the investigation.
Although gyms are permitted in the zone, the council requires owners to submit a development application and impact assessment. The application fee alone can cost between $5666 and $14,157, depending on the size of the establishment.
Many gym owners who have been in operation for years say they were unaware of the requirement.
For Daniel Nimmo, of HIIT Fitness at Varsity Lakes, the price of the application was simply too much.
“We couldn’t justify the cost,” he said. “Our quotes to get the impact assessment done were $15,000 to $20,000, just for a bit of paperwork.
“So we actually closed up last week and moved everything to a storage shed.
“When the previous owners set up, they said they were told by council there was no need for any assessment.
“Five years later my business partners and I are facing a fine of over $2 million as a corporation if we don’t pay the council their application fee and find a town planner to do the assessment.
“From a business point of view we couldn’t do it, so we bit the bullet and closed.”
Fitness instructor Veronica Wallington, who opened Lifestyle Incorporated Training eight weeks ago, said she was facing a huge debt after receiving the council notice this month.
“They are trying to push some people out,” Ms Wallington said.
“For you to run a business you have to comply with zoning laws of council, but I find it hard to see how small group training studios disturb light industrial areas.”
Ms Wallington said the council told her the assessment was unlikely to find any issues, but would still be required.
“We are open at the times when people are not even in the area but we still need to get the approval,’’ she said.
“It is pretty bad. I am going through with it (but) I honestly don’t know if I can come through with that money.
“I understand the case we should have the zone approval, but how can they charge us thousands?
“Most gyms move to these areas because they have minimum impact and are affordable.
“I am not here to make millions of dollars and have millions of members, I just want to make an impact on the world and improve the life of a group of people through health and fitness.”
Council planning committee chairman Cameron Caldwell said all businesses had to comply with zoning laws.
“Council acts frequently in response to complaints of non-compliance. All operators are encouraged to ensure they have the appropriate approvals in place,” he said.
Burleigh Tight Fitness Solutions owner Tyrone Jensen said he would like to see more discretion with council zoning fees.
“I have been operating for close to eight years and understand council does have regulations,” he said. “However, the application fee alone will cost us up to $8000 and that is non-refundable.
“So a fee of $20,000 all up for small businesses is tough, we are thrown into the mix with the big 24-hour gyms.
“I’d like to see something more reasonable for the small operators.”
FROM A BUSINESS POINT OF VIEW WE COULDN’T DO IT, SO WE BIT THE BULLET AND CLOSED. DANIEL NIMMO, HIIT FITNESS