A court has ordered Phase 54 to close, and on the same day the Chandler nightclub filed for bankruptcy protection.
The ruling is a victory for surrounding restaurants who moved to block Phase 54, saying it never should have opened because of restrictions preventing a club on the property near Interstate 10 and Ray Road.
Maricopa County Superior Court Judge Richard Gama sided with the restaurants late last week, ruling against Phase 54's arguments that it was not a nightclub.
Phase 54's neighbors took legal action two weeks before it opened in May, arguing the covenants, codes and restrictions on the land prevent any nightclub, disco, dance hall, music hall or similar entertainment facility.
Club owner Jon Harris at the time claimed racism was behind the opposition. In court, his attorney filed briefs refuting it was a nightclub, but instead that is was a concert venue. Gama ruled the restrictions against a nightclub or similar use clearly prevent Club 54.
The venue opened in a former Terri's Consign & Design, which Harris gutted for a $1 million renovation.
When the dispute broke out, Harris argued nobody objected in the months he was navigating Chandler's public hearings and permitting requirements. The two-story club opened with 26,100 square feet, a stage with lighting and sounds for full bands and dancers to perform in a concert atmosphere. It also had a large wine cellar.
When it opened, the Chandler Chamber of Commerce joined in the ribbon-cutting ceremony to welcome an upscale venue that is the city's only nightclub.
But the neighboring Outback Steakhouse, Charleston's and Carrabba's objected, citing its patrons would park in spaces they were entitled to because Phase 54 couldn't provide as many spaces as the club needed.
It is unclear whether Phase 54 will attempt to remain open. The club's website is advertising upcoming events and the judge ruled his decision can be appealed. Calls to the club and to its attorney were not returned.
Bigwildcat posted at 5:58 pm on Sat, Sep 11, 2010.
The owner filed bankruptcy protection due to the fact he didn't pay for most of the renovations to the building and is now worried the contractors will come after him. He promised to pay "cash upon completion", then he used the excuse he had to fight the lawsuit! Now nobody will get paid....Unless they go after the property owner. My company knew better and refused to provide him with work....others weren't so lucky!
Wineboy posted at 11:19 pm on Wed, Sep 8, 2010.
What goes around comes around. The beautiful wine callar that they show on their home page was built by my company and never paid for. The check bounced all the way to the bank
taylor posted at 10:03 pm on Tue, Aug 31, 2010.
There should be a nightclub in a city the size of Chandler. We should not allow Scottsdale to have a monopoly on "Let's go dancing" People go to dance after 10. People do not head out to eat that late. I've been there. These restaurants are misguided or prejudiced. Carrabba's was my favorite Italian restaurant, but I will never go there again.
Sparky posted at 10:17 am on Tue, Aug 31, 2010.
Music + alcohol = nightclub.
I'm sure the drinking part was downplayed, and booze is where the money is. Take away the liqueur license and see If he wants to stay.
loubator posted at 10:06 am on Tue, Aug 31, 2010.
Rats! I was looking forward to protest the protest that was supposed to be staged by Jarhead Maupin Sharpton. (No offense intended against the Marines)
ofuque2 posted at 7:06 am on Tue, Aug 31, 2010.
I'm sorry, but this business went through the proper permitting process with the City of Chandler. Like the article said, even the Chamber of Commerce showed up for the ribbon cutting ceremony. It's not like no one knew what was going on before this guy dropped a cool million on renovations. If the judge's order stands, I hope this guy sues the City of Chandler and wins. As for Outback, Carrabbas, and Charlestons, they had to know what was going on BEFORE this place opened. Also, the parking situation would have been addressed during the design process with the city. Something is just not right here. We're not getting the whole story.
Rich posted at 5:50 pm on Mon, Aug 30, 2010.
"Puritanism. The haunting fear that someone, somewhere, may be happy." George Jean Nathan
RWhite posted at 4:56 pm on Mon, Aug 30, 2010.
Maybe I'm old school, but I'm glad this is happening. I wish we could keep all these places from entering our communities. I can agree with the people and businesses in the neighborhood.
Arizona bankruptcy attorney