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Avant Gardner Files for Chapter 11 Bankruptcy After Brooklyn Mirage Reopening Failure

The filing springs from a liquidity crunch tied to the failed Mirage relaunch, setting the stage for a lender-backed auction of its assets.

A general view of the Avant Gardner complex that houses the Brooklyn Mirage concert space is seen from the surrounding streets, Wednesday, Aug. 16, 2023, in New York. (AP Photo/John Minchillo)
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A photo of the venue Brooklyn Mirage in Brooklyn, NY.

Overview

  • Avant Gardner LLC sought Chapter 11 protection in Delaware on August 4, listing about $155.3 million in funded secured debt obligations.
  • Court documents describe a “significant liquidity crisis” that followed the cancellation of the Brooklyn Mirage’s planned May 1 reopening due to inspection and permit setbacks.
  • The Great Hall and Kings Hall indoor venues will continue normal operations under debtor-in-possession financing during the restructuring process.
  • CEO Gary Richards, appointed in early June, characterized the Chapter 11 filing as the most viable path to stabilize the company and prepare for a future relaunch of the Mirage.
  • The restructuring roadmap includes a stalking-horse purchase agreement with an existing lender and a competitive auction for remaining assets to satisfy creditors.