CA posts a surplus for fiscal year 2006

Sport-fitness report notes extra $5.4 million

June 25, 2006|By LAURA CADIZ | LAURA CADIZ,SUN REPORTER

After renovating its fitness facilities in an attempt to compete with nearby LifeTime Fitness, the Columbia Association has posted a record number of membership sales for fiscal year 2006, helping the homeowners association reach a $5.4 million surplus.

The membership revenue of $8.8 million exceeded last year's by $826,000, and that was partially because of "one-time extraordinary expenditures," including increased marketing and recent renovations, according to a report by Rob Goldman, the association's vice president for sport and fitness, that the association board received Thursday night.

Those memberships, along with savings in depreciation expenses, helped the association close its fiscal year with a $5.4 million surplus, $2.8 million higher than budgeted, according to the board's budget report.

Lifetime Fitness opened in February in Columbia's Gateway Commerce Center, giving the Columbia Association its first significant competitor in its 39 years. In response, the association spent nearly $6 million to renovate its sport facilities.

The association renovated the Athletic Club, the Supreme Sports Club and the Hopewell pool, increased its marketing and established a "new internal focus on customer service," according to Goldman's report.

laura.cadiz@baltsun.com

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