On the eve of a crucial liquor-license hearing, LoDo neighbors yanked their support for a planned music venue called Beta X, throwing the project into limbo. The Jan. 28 vote to reject a good-neighbor agreement came after years of violence and licensing headaches on the same block, and it cut straight into owner Tom Zaidan’s attempt to reboot the property with a new brand. Locals and neighborhood leaders say the long shadow of the old Beta nightclub, plus more recent trouble at Sky Lounge next door, made signing off on fresh terms a politically tough sell.
At the hearing, Zaidan’s attorneys argued that Beta X would operate as a “cultural venue” built around live bands and DJs instead of the nightclub format that once filled the building. Attorney Tom Downey called LoDoNA’s late-breaking rejection a “bombshell” and said the group had expected the agreement to be approved the night before. LoDoNA board member Don Ku told neighbors that Zaidan “hasn’t earned the trust of the neighborhood.” As reported by BusinessDen, the board voted down the agreement on Jan. 27.
Old Beta Nightclub History Still Looms
Beta was an internationally known electronic-dance hotspot in the 2010s, but its reputation unraveled after a 2019 ownership change. Under new owner Hussam Kayali, who used the moniker Valentes Corleons, the block saw gang violence, drug activity and security violations that drew city scrutiny. The space was declared a public nuisance, and the city moved to close Beta after a New Year’s Day 2022 shooting outside neighboring Cabin Tap House that killed two people, according to Westword.
Sky Lounge Troubles Give Neighbors Pause
The more immediate trigger for LoDoNA’s hesitation was Sky Lounge, the business Zaidan opened at 1919 Blake St. in 2024. Licensing records describe a March 8, 2025 fight at Sky Lounge that left two people stabbed and flag issues such as unlicensed security and indoor hookah and dancing without the proper permits. Zaidan later reached a settlement with the city in summer 2025 that required short closures and conditions aimed at preventing future violations, details reported by BusinessDen.
Good Neighbor Agreements And The City Process
Good-neighbor agreements do not grant liquor licenses, but they carry weight at Department of Licensing and Consumer Protection hearings. The LoDoNA Good Neighbor Committee negotiates these agreements and appears on behalf of the neighborhood at licensing meetings. LoDoNA’s monthly reports list 1909 Blake as a pending tavern and dance-cabaret application and show how the committee tracks conditions such as security, noise and cleanliness. The committee’s position serves as a key signal to the hearing officer and to nearby residents, according to LoDoNA…