During his presentation to the , LAPD North Hollywood Division Senior Lead Officer Rob Benavidez said the controversial club is now in foreclosure, provided the business owner does not appeal by Nov. 28.
The Web site LoopNet.com lists the property as bank-owned and for sale as of Oct. 27. When reached by phone, the club's owner, Eduardo Hernandez, said the property had not been foreclosed upon yet but the bank was in the process of doing so. He also said he was unaware of any Nov. 28 deadline, but anticipated the club would close soon, although he intended to be open this weekend.
"It is going to be closed, that is for sure. It is in foreclosure," said Hernandez.
In July, a hearing about the club was held at the Van Nuys Civic Center after multiple residents filed complaints with the city alleging it had become a nuisance to the neighborhood, with police reports ranging from theft and battery to illegally serving liquor after hours. Shots were also fired outside the club on the night of July 24, and multiple Patch readers wrote in, saying the shooter had been a patron inside the club. No one was shot during the incident, but it didn't help the club's reputation. The club frequently stayed open until after 6 a.m. with all-night dance parties that would go on until after sunrise, and at the hearing Hernandez tried to argue to allow the club to stay open after hours.
After the hearing, Hernandez agreed to change the hours until midnight on Sundays through Thursdays and until 2 a.m. Fridays and Saturdays. He said he implemented the new hours on Oct. 1, but a large portion of Blue Moon Nights' profits had come from it being known as an afterhours club, and he said that the change in hours has affected profits significantly and led to the foreclosure.
"The change of hours is what did it. We used to be open five, six nights a week until 6 a.m., now we have maybe one, two nights, and we are always closed now by [2 a.m.]," Hernandez said.
Hernandez said he has owned the club for seven years and it is his only business. If the club closes he said he is unsure what he will do next, and also said he felt persecuted by the city and that the club's ability to make a profit was purposefully hindered by the city's new regulations.
"This is my business. It's unfortunate. The city seems to have something against us. Someone wants this building," he said.