Since Rubell and Schrager knew they couldn’t expect to find any success for their new club without alcohol, they decided to work around the laws of liquor licensing. Instead of getting their own permit, the owners bought individual catering permits that filled Studio 54 with booze on a nightly basis. Unfortunately, their plan soon backfired.
The Liquor State Authorities caught on to their not-entirely-legal practice. An evening of dancing was interrupted by police, who swarmed the nightclub, arrested Rubell and Schrager, and shut down Studio 54 indefinitely. The club’s days were numbered, and it closed permanently in 1980 after the owners were sentenced to prison for tax evasion.
The Sordid Rumors Originated In the Basement
While the dance floor focused on having a good time, the salacious rumors surrounding the club had to come from somewhere. Apparently, the truly lewd activities took place in the basement. On one of the three levels in Studio 54, the basement featured secluded corners filled with sweaty bodies. While the lower level was used for storage, security guards constantly roamed the makeshift hallways.
You don’t need security guards to watch over unmoving props, so we’ll let you draw your own conclusions about what went on down there. While the club's founders denied any wrongdoing, the basement of Studio 54 remains shrouded in mystery and speculation to this day.
Cher Was a Regular
Nestled between 8th and Broadway in New York City, Studio 54 was an escape from the outside world. For big stars like Cher, the club offered a place to be herself, free from the pressures of screaming fans and hungry paparazzi. The Goddess of Pop was a common installment at Studio 54. The laid-back, party-centric environment allowed her to blend into the background, a necessary reprieve from her regular existence in the spotlight.
Performances by renowned musicians such as Mick Jagger, Grace Jones, and Donna Summer were a regular occurrence at Studio 54. The club was not just a discotheque but also a place where art, fashion, and music collided to create a unique cultural experience.
Studio 54 Knew Something About Human Nature
Studio 54 was meant to cater to people's most basic desires, which eventually made it the success story it is now. As Schrager sees it, people haven't changed much — what they want is to socialize, interact, and be around other people. We may have fancier technology, new skyscrapers, and online communication, but that hasn't eliminated our need for human connection. .
While the hospitality and entertainment industry has changed, we as humans have not changed that much. People kept coming as long as the club saw these desires and urges. The lessons Schrager learned from Studio 54 have served him well throughout his career and continue to remind us that, at our core, we all desire the same thing: to connect with others in a meaningful way
Even the Fonz Couldn't Get In
It seemed as if there were special demands to meet and that those demands were secretly changed on a nightly (or even hourly) basis. Celebrities were a little more likely to get in than common folk, but sometimes even that wasn't enough. Henry Winkler is the best example of someone famous being turned down at the door.
At the time, he was playing Arthur Fonzarelli, aka Fonzie, in the super successful TV show "Happy Days," but even that couldn't get him past the velvet ropes. The incident made headlines, and even today, it's still a reminder that not everyone was welcome at Studio 54, regardless of their status.