Studio 54 – Part 1

Studio 54 was a highly popular discotheque, located at 254 West 54th Street in Manhattan, New York. In 1977 it became the legendary nightclub, Studio 54, and since November of 1998 it has been a venue for the Roundabout Theatre Company.

The building was originally the Gallo Opera House, built by Fortune Gallo in 1927 for his renowned San Carlo Opera Company. In 1943 CBS purchased the theatre, renaming it Studio 52. CBS named its studios in order of purchase. The number 52 was unrelated to the street it was located on, and during these years, CBS used the theater for radio broadcasts. In 1976 CBS moved most of its broadcast functions to the Ed Sullivan Theater and the CBS Broadcast Center, and sold Studio 52. The Ed Sullivan Theater once had access to Studio 52 through an access door, which was cinder-blocked during the theater's 1993 renovation for Late Show with David Letterman. When CBS began marketing the building in 1976, various interests in the art and fashion world expressed interest in seeing it converted into a nightclub.

Carmen D'Alessio, a public relations agent for Valentino, encouraged Steve Rubell and Ian Schrager, who were operating the Enchanted Garden in Queens, to buy the theatre. She introduced Rubell and Schrager to many of the socially prominent figures who later became regulars at Studio 54. D'Alessio helped arrange a pre-opening dinner with Andy Warhol, Halston, and Calvin Klein. In 1977 the building was purchased and renamed Studio 54, for its street address, 254 West 54th Street, between Broadway and Eighth Avenue.

The nightclub was founded by four equal partners. Steven Rubell, Ian Schrager, Tim Savage, and Jack Dushey. They operated the company as Broadway Catering Corp. Another partner, Richard DeCourcey, was present until September 1977. It took almost a year to transform the space into a nightclub, and costs totaled between $600.000 and $700.000 when the renovations were complete. Rubell and Schrager considered it as one bet, they had to win, and hired some of the best designers around to undertake the project. They converted what was formerly the theater’s stage into a dance floor. They recreated the feeling of being on stage by placing spot lights around the dance floor and of course, a sparkling disco ball hung over center stage. Studio 54 became known for having the best lights and sound system in the entire city.

Within a month of opening, the New York State Liquor Authority raided Studio 54 for selling liquor without a license, and closed it. The owners of the nightclub said the incident was a "misunderstanding". The next night the club reopened, serving fruit juice and soda instead of liquor. Prior to the raid, the nightclub had been using daily "caterers' permits", which enabled the nightclub to serve alcohol but were intended for weddings or political events. The State had denied the daily permit for the night and raided the nightclub. The nightclub had been using these permits while waiting for its liquor license to be processed...