ONE of Wigan’s most popular nightclubs has closed after its owners last week slipped into administration.
Owners of the King Street-based Elements and Legends clubs, formerly known as Liquid and Envy, announced yesterday that it has shut down with immediate effect.
With the closure, a total of 30 full and part-time jobs have also been lost.
There have been concerns for around a year for the nightclub, which is owned by Luminar Entertainment.
The company has announced that it is to close 14 per cent of its venues with Elements and Legends being one of those.
Last year, Broxbourne Heath leisure obtained a six-month sub-contract for the venue which saw it change names in a bid to boost its popularity.
However, when that contract ran out this year it was not renewed and its future remained uncertain.
The club has undergone a huge re-vamp in recent years before even more money went into developing it further this year.
But last week Luminar entered administration after lenders refused to extend a recent period of leniency on its £90 million debts.
The reason behind the clubs’ downturn is being attributed to high unemployment among the 16-24 year-old age group. Unemployment in this age group is particularly high in Wigan.
Ernst & Young, which has been appointed at administrators, said the closures represented an acceleration of a turnaround plan for the business and the clubs being closed had already been identified as “non-core.”
A total of 11 venues will close across the country but 65 will remain open as usual.
Luminar recorded losses of £198million in the year to the end of February as sales dropped by 19 per cent to £137 million.
Its lenders – Barclays and taxpayer-backed Royal Bank of Scotland and Lloyds – threw it a lifeline in May when they agreed to waive banking covenants on a temporary basis to allow the business time to turn itself around, but pulled the plug on the company last month.