Kettering Leisure Village for sale with multi-million pound price tag

Known as KLV, the facility includes the largest sports hall in the north of the county that is home to Volleyball England, Tiger Play, Balance Health Club and the 576-seat Lighthouse Theatre.

Details advertised by property advisers Christie & Co say the complex is on the market to offers of about £6m for the ‘long leasehold interest by way of a share sale’.

This type of business transfer means all aspects of the business remain exactly as they were before the transfer has taken place – only the ownership changes.

Jeremy Jones, head of brokerage for Christie & Co said: “Kettering Leisure Village is a unique property in the UK. Producing growing profits from across a range of health, leisure and commercial activities as well as strong rental income. There are a whole range of asset management opportunities to capitalise on to grow the profits and income.”

In 2023, Compass Group Services announced they would no longer run the KLV complex – sublet from Phoenix Leisure Group. North Northants Council (NNC) leases KLV from BQ Farms, paying a £1 annual peppercorn rent, an arrangement which was inherited from their predecessor authority, Kettering Borough Council.

Compass Group Services made the closure decision after saying costs had ‘increased significantly and that it was no longer financially viable’.

NNC provides an annual grant to support the sports facilities and the theatre, totalling £357,000.

Since the temporary closure of KLV in 2023, current owners Phoenix has continued to successfully operate the complex and is obligated to use ‘reasonable endeavours’ to keep the site running.

Recently, it invested £100,000 into repairs, and it continues to offer sports and leisure activities as well as hosting shows at The Lighthouse Theatre. Soft play centre, Tiger Play, reopened this summer in the former Kids Kingdom.

Christie & Co says KLV is a ‘unique opportunity for a new owner to secure this profitable multi-income generative asset’.

As well as listing assets including the theatre, health club, sports arena, children’s soft play area and diverse conference facilities, the agent has flagged up the possibility of creating a hotel on the site.

Particulars state: “Strategically located in the heart of England, this purpose-built, multi-use health and leisure complex was constructed in the early 1990s and sits on a substantial site spanning over 9.4 acres.

“Over the years this diverse property has become the established home of Volleyball England and undergone further development with a roll call of attractions.

“Additionally, planning consent was granted in 2018 for a 194-bedroom hotel to be positioned at the front of the site, which has now lapsed. However, there is an opportunity for a new owner to regain planning permission to create a hotel alongside the regional conference and leisure centre, which is currently in high demand.”

NNC Cllr Jim Hakewill (Ind, Mawsley), who campaigned to save KLV from closure, said: “It was always likely that KLV would be sold on. I’m delighted that much investment has been put in by Phoenix Group. I sincerely hope they will find a new owner who is very much interested in the community aspect of KLV. I especially hope colleagues on NNC will be talking to any new owner about how important KLV is to Kettering.”

A spokesman for Phoenix Leisure Group said: “Phoenix Leisure Management took over the running of KLV in September 2023 following the threat of closure. “We have successfully improved the operation and invested in new equipment, whilst improving communication with the council (NNC), to ensure the business is in a healthy place today. “Phoenix Leisure Management believe it is now in the best interests of KLV to explore the option of a specialist leisure operator to continue the successful journey and ensure the long term future of KLV. “So for our members and all visitors to our site, it is business as usual and we will be continuing with our exciting plans.”

NNC has been contacted for a comment.

Click here see how to buy KLV.