A former bottle shop will be converted into a sport and recreation centre.
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The former bottle shop, attached to the Gunners Arms Tavern, will become Tasmania's first OsteoStrong office after a development application was approved at the City of Launceston council meeting on Thursday.
However, the fitness centre is not going to be as imposing on neighbours as a former plan to run an F45 gym from the site, the proponents said.
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Co-owner Claas Visser said the global company operates "entirely different" to a normal gym.
There will be a maximum of 10 clients on the site at any time, with the business to operate seven days a week and some early mornings and late nights to allow for 9-5 workers.
Neighbours voiced their concerns about change of use classification saying it paves the way for a normal gym, with loud music, earlier opening hours and bigger class sizes to operate from the site in the future.
"We're happy for OsteoStrong to operate, but we don't understand the sport and rec classification," Rosemary Jones said.
Another said it seemed like a "back door" approach to getting approval for a future gym.
However council staff said this would not be the case.
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Commercial Project Delivery's Chloe Lyne said the OsteoStrong proposal was a "much better fit for the site".
Councillor Hugh McKenzie said he doubted there would be anxt in the community if there were not problems with the F45 application. He said this proposal was not of the same nature as the former plans.
Councillor Rob Soward said it would be strange to refuse the application because the recommended conditions addressed the concerns raised by the representors.
The motion was passed unanimously.
Councillor Andrea Dawkins was not at the meeting.
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