Red Iguana Closes Permanently

Knoxville (WVLT) - The fight to stay open is over for one embattled Old City nightclub. The Red Iguana is closing down.

As Volunteer TV’s Mike McCarthy found out fellow businesses have mixed reactions to the news.

Some of the businesses here in the Old City say the Red Iguana's doors closed is a beautiful one. A cook at Pasta Trio even told WVLT it's the best news he has heard in a while.

Monday morning the City Recorder’s Office got a signed agreement that terminates the club’s beer permit, club attorney Phil Lamonaco says the Red Iguana will also give up its liquor license. He says the club’s owner was concerned about evidence the city collected against the club and closing down was a better economic choice.

The club has been home to several fights and a shooting in the last year. That has some neighboring businesses saying good riddance but others aren't so sure.

"I think places like the Red Iguana that have earned a bad reputation have decreased business in the Old City, because people think of it as an unsafe place to visit,” says Meg Parrish from Old City Java.

"I am pro business. We want people to be making money, but we want them to do it legally. I am sorry to see them go, but it creates a void and hopefully someone will come in and fill that,” says Mark Mowbray from Da Vinci’s Pizza.

The Red Iguana had faced a beer permit suspension and revocation hearing in August. Now that the doors are closed that's not going to happen.

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