Locally Owned Fitness Giants Join Forces on the Northshore

Two of the northshore’s most recognizable fitness brands are stepping into a new chapter together, as Franco’s Health Club and Spa and Cross Gates Family Fitness enter a strategic partnership that brings their management under one umbrella while keeping both club names — and ownership — local.

Under the new arrangement, the ownership team behind Cross Gates Family Fitness in Slidell will assume management of Franco’s facilities in Mandeville and New Orleans. Cross Gates, founded in 1981 and long established as a powerhouse on the eastern side of St. Tammany Parish, operates three locations in the Slidell area. Franco’s, meanwhile, has spent nearly four decades as a landmark on the western side, anchored by its 80,000-square-foot flagship club on 10 acres off Louisiana 22.

“We’re going to be leading both operations,” said Nate Welch, who co-owns Cross Gates with his uncle, Larry Welch. Between the five locations, the combined footprint now serves around 30,000 members and employs more than 400 people — a scale that gives the partnership significant influence in the northshore fitness market.

Welch described the deal as a strategic partnership rather than a takeover, declining to go into financial details. What he emphasized instead was continuity: both Franco’s and Cross Gates will keep their own names, brands, and community identities. For longtime Franco’s members, he stressed, this is meant to be an evolution, not an erasure.

That point was underscored in a news release announcing the move, which noted that Ron and Sandy Franco — who built Franco’s over the past 37 years — will remain actively involved. They will continue to help steer the brand and uphold the club’s longstanding commitment to members, staff, and the wider community. According to Welch, the relationship between the two families goes back years, making this partnership feel less like a cold business transaction and more like a natural extension of an existing friendship.

“Franco’s is an institution,” Welch said, explaining why preserving the name and legacy was non-negotiable. For decades, Franco’s has been woven into the fabric of western St. Tammany life, not only as a workout destination but as a community hub. Its signature Iceman Dip & Dash — a bracing New Year’s Day run along La. 22 capped off with a swim across the chilly Tchefuncte River before heading back to the club — has become one of the area’s most distinctive fitness traditions.

The partnership also comes with tangible promises for current and future members. Welch said the group is planning a multimillion-dollar renovation and expansion focused on both Franco’s locations. Those upgrades will range from cosmetic improvements inside the buildings to enhancements on the fitness floor and work on pickleball courts — a nod to the rapidly growing popularity of the sport. Additional projects are expected to be announced later, suggesting that this is just the first phase of a broader reinvestment strategy.

For now, Welch said members shouldn’t expect any immediate changes to their memberships. That stability is deliberate: in a region where many residents have deep, longstanding ties to their home clubs, sudden shifts to pricing or policies could trigger backlash. Instead, the new leadership seems intent on building trust by improving facilities first and adjusting the business model, if needed, more gradually.

The timing of the move is noteworthy. The northshore fitness landscape has become increasingly competitive as national chains push into the market. Pelican Athletic Club in Mandeville was recently acquired by Kansas-based Genesis Health Clubs, signaling that large, out-of-state operators see opportunity in the area. Meanwhile, Crunch Fitness has planted a flag in Mandeville, and Planet Fitness now operates in both Slidell and Covington, offering low-cost memberships that appeal to price-sensitive gym-goers.

In that context, the Franco’s–Cross Gates partnership looks like a strategic response from two homegrown players seeking to hold their ground and grow without ceding control to national brands. Instead of selling outright to an outside company, Franco’s ownership chose to align with another local operator that shares its regional roots and community focus. The combined organization now effectively brackets St. Tammany Parish, with Cross Gates dominating the east and Franco’s anchoring the west.

Asked whether the deal was motivated by rising competition or a desire to expand westward, Welch kept his answer broad but positive. He said that the clubs have always had connections with one another and that he views other gyms — even national chains — less as enemies and more as partners in promoting healthier lifestyles. “I’m cheering everyone on,” he said, adding that he believes strongly in the industry as a whole.

Still, the reality is that scale, brand recognition, and capital for renovations matter in a market where consumers have more options than ever. By pooling management and planning a hefty round of upgrades, the Franco’s–Cross Gates alliance positions itself as the northshore’s largest locally owned fitness network — an identity that could resonate with members who prefer staying loyal to regional businesses rather than sending their dollars to corporate headquarters in another state.

For now, members at both brands can expect familiar faces at the front desk and on the fitness floor, with gradual improvements rolling out over time. Behind the scenes, though, the partnership marks a significant reshaping of the local fitness landscape. It aligns two long-standing institutions under shared leadership while preserving the names, stories, and community quirks that made them successful in the first place.

“I love this mission of being locally owned and operated,” Welch said. If the renovations and member experience live up to that sentiment, the move could strengthen both Franco’s and Cross Gates at a moment when staying independent — and competitive — is getting harder to do.

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Making Sense of Today’s Cooler Mortgage Rates

Mortgage rates have finally broken their three-year streak of pain. After hovering above 7% for much of early 2025, the average 30-year fixed rate slid to around 6.30% in September and has entered October notably lower than where it started the year. For buyers who’ve been on the sidelines waiting for some relief, it’s tempting to see this as the green light to jump back in.

But a lower number on a rate sheet doesn’t automatically mean it’s the right time to buy.

Even after this recent drop, today’s rates are still substantially higher than they were in the early 2020s, when emergency cuts during the pandemic pushed borrowing costs to historic lows. And no one can say with certainty where rates go next. That uncertainty means buyers need to think beyond the excitement of “rates are down” and take a sober look at both the opportunities and the risks that exist this October.

One clear advantage is that financing a home is cheaper than it has been in several years. At one point this month, average 30-year rates briefly dipped toward the low-6% range, and even after a small bump, they remain well below the levels buyers faced last winter. For many households, that shift meaningfully improves affordability: a lower rate can reduce monthly payments, increase the price point you qualify for, or simply give you more breathing room in your budget. If your credit is strong, your debts are under control, and you’ve been waiting for some relief, this environment may allow you to secure a loan that felt out of reach just months ago. It’s still wise, though, to start by pulling your credit report, checking for errors, and tightening up your financial profile so you’re in the best possible position to lock in a competitive rate rather than assuming “average” is what you’ll get.

At the same time, the very thing that created this opening—a rapidly shifting rate climate—should make you cautious. Mortgage rates move in response to a mix of forces: the 10-year Treasury yield, inflation readings, jobs data, investor expectations about the Federal Reserve, and broader financial market sentiment. Any sharp change in those inputs can push rates higher again, sometimes quickly. We’ve already seen this movie: after a Fed rate cut in late 2024 pushed mortgage rates to a two-year low, they later climbed back up. Buyers who assumed the low would last and waited too long ended up facing more expensive loans. The same could happen again. Waiting might win you a slightly lower rate, or it might leave you chasing a moving target that suddenly turns against you.

Many people are also eyeing the Federal Reserve’s late-October meeting, where markets see a high probability of another rate cut. That sounds like good news, but it’s not a guarantee of cheaper mortgages. First, mortgage rates are influenced more by expectations about long-term inflation and economic growth than by a single short-term policy move. Second, lenders often adjust their offers ahead of known decisions, so the “good news” may already be priced in. A cut could nudge rates a bit lower, but it could just as easily be overshadowed by other economic data or by markets deciding the Fed is nearing the end of its cutting cycle. Treat the expected cut as one piece of the puzzle—not as a promise that waiting until after the meeting will automatically get you a better deal.

Seasonality adds another wrinkle. Fall is not traditionally the prime homebuying season. Compared to spring and early summer, there are usually fewer listings, fewer open houses, and less flexibility in timing a move around school schedules and holidays. Sellers who were testing the market may have already pulled their homes, and families often choose to stay put until after the new year. That can mean less choice and more compromises for buyers: you might have to accept a location you’re not crazy about, a layout that’s not ideal, or a house that needs more work than you’d like simply because the options are limited.

On the other hand, the same seasonal slowdown can work in your favor. Sellers who keep their homes on the market through fall and into the holiday season are often more serious and more motivated. That can translate into better negotiation opportunities—closing cost credits, repair concessions, or small price reductions—especially if your financing is strong and you can move efficiently through underwriting. The challenge is weighing the potential long-term savings of acting while rates are cooler against the very real trade-offs of buying in a thinner, more inconvenient market.

Ultimately, today’s lower mortgage rates are an opening, not a mandate. This October is not October 2020, when ultra-low rates made waiting feel almost irrational, nor is it exactly like October 2024, when a brief dip was followed by a rebound. The context has changed: home prices may be higher in your area, inventories may be tighter, and your own financial situation might look different than it did a year or two ago.

The real question isn’t, “Are rates low?” It’s, “Are these rates low enough, given my budget, my job stability, my savings, and the homes actually available to me right now?” A thoughtful next step is to run the numbers on a few realistic scenarios—different price points, different down payments, and slightly higher and lower rates—to see how sensitive your monthly payment and overall comfort level really are. Then, have a candid conversation with a mortgage professional and a real estate agent who understand your local market, not just the headline rate trends.

If buying now still leaves you stretched, overly dependent on everything going right, or settling for a home that doesn’t meet your core needs, the smarter move may be to keep saving and wait—even if rates rise a bit. But if the current rate environment allows you to buy a home you genuinely want, with a payment you can responsibly afford, and with some margin for the unexpected, then this brief period of cooler mortgage rates may be the opportunity you’ve been waiting for.

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