Soho House stops accepting new members in 3 major cities as luxury gets overcrowded
“Meet me at Soho”… or not. Upscale social club Soho House said it plans to stop accepting new members in LA, NYC, and London. The spots have gotten so popular that members are complaining about overcrowding and disappointing customer service. Soho House, which went public in 2021, says it has 185K members and a record 98K people on its waitlist. Last quarter, memberships jumped 21% from a year ago, and this year the stock’s up 35%.
Soho story: Since launching in London, in 1995, Soho has expanded to 40 clubs worldwide — about half of which are in LA, NY, and London.
Pricey: An “all houses” membership costs ~$5K/year, with access to restaurants, bars, rooftop pools, hotels, and gyms.
Next-gen country clubs… Soho isn’t the only exclusive spot coping with overcrowding: Delta and American Express tightened requirements for entry to their airport lounges after lines grew longer than layovers. To meet demand, rival Chase has started opening Sapphire lounges, including in Boston and Hong Kong. Beyond the airport, Zero Bond announced a second location in Vegas after its club in the Big Apple attracted celebs like Swift and DiCaprio. Meanwhile, Heimat and NeueHouse take an LA approach to club life by focusing on wellness (Pilates, sauna) and creative work (pod-recording studio), respectively.
Luxury has a saturation point… It’s a balancing act keeping members happy while accepting new ones to grow. Overcrowding and stretched-thin service can dent the feeling of exclusivity that people are willing to pay thousands for. The answer: creating more clubs or raising the bar for entry. Despite closing to new members in some cities, Soho said it plans to grow its membership 14% next year thanks to new spots in hubs like São Paulo and Mexico City.