New York City-based music venue operator Avant Gardner, parent company of the Brooklyn Mirage, has filed for Chapter 11 bankruptcy protection in Delaware, citing a "significant liquidity crisis" and approximately $155.3 million in funded debt obligations. The filing comes after the company faced prolonged difficulties reopening its flagship outdoor venue, Brooklyn Mirage, following extensive renovations. The news was initially reported by Bloomberg and confirmed by court filings.
Gary Richards, who assumed the role of Avant Gardner's CEO in May, attributed the bankruptcy to the liquidity issues and "increasingly aggressive collection activities" from financiers and contractors. The company had secured additional financing in recent months to finalize the Brooklyn Mirage renovation, but certain deals are now subject to dispute. The venue's inability to secure necessary permits and pass inspections prevented its scheduled May 1st reopening for the 2025 season, leading to numerous show cancellations and postponements.
As part of the bankruptcy proceedings, Avant Gardner's key lender will provide around $45.8 million in debtor-in-possession financing. This funding is intended to support ongoing operations and will also be used by the lender to bid for Avant Gardner's assets. The company plans to hold a competitive auction for its assets, aiming to stabilize its financial situation.
Despite the bankruptcy filing, Avant Gardner's other venues, Great Hall and Kings Hall, are expected to remain operational. The company stated that these indoor venues will continue to host events during the Chapter 11 process, serving the community of artists and fans. Richards expressed optimism, stating, "I believe this Chapter 11 restructuring is the most viable path forward – it will allow us to stabilize Avant Gardner and focus on building for the future."