In March 2016, the popular Brooklyn nightclub Verboten was seized by the state, as the owners of the venue owed over $360,000 in sales tax. Now months later, the club has been auctioned off with former Pacha owner Eddie Dean winning the bid.
Eddie Dean, who opened Pacha NYC in 2005, placed the winning bid of $1.2 million, beating out Michael Annunziata of Snap Music Group who bid $1.175 million and Louis Puig of Space who placed a bid of around $850,000.
“I started my nightlife career in Brooklyn so it’s only fitting that I return here now,” said Dean. “We are excited to take over the North 11th space in this prime location and fully put our nightlife expertise into action.”
Prior to the seizure, rumors were circulating of financial mismanagement as the investors were forced to take action. "Many of the investors have been forced to organize over the last several months due to what was initially simply a lack of transparency into the operations and financial performance of the business by the operating partners," explains an investor in the club named Brian Edward McGuinness who was speaking on behalf of 13 other investors.
Now that the club has officially been auctioned off to Eddie Dean, we look forward to seeing what the future holds. Pacha NYC closed it's doors back in January, and many locals in the Brooklyn scene are worried that the new Verboten will look to replicate what Pacha was. After all, the club did close down for a reason, and as the underground continues to gain momentum in the industry, it would be wise to stick to what made Verboten special in the first place. Just be sure to manage the business better than it's previous owners.
The venue is expected to open in the fall under a new name and vision dedicated to the creative ethos of Brooklyn and serve as an outpost for the global dance music scene.
Look out for the club's calendar coming soon and we'll be sure to see you all on the dancefloor when the doors open.
[H/T: District Underground]