Licensing board approves new manager and name for Energy Lounge amid landlord dispute and code concerns

The Lawrence Licensing Board on a voice vote approved a change of manager and a DBA change for the business at 459 Broadway, allowing the venue formerly operating as NLG Lounge to transfer management and operate under a new restaurant concept.

Attorney Brian Carrigan, representing the licensee EnergyLounge Inc., told the board his client, manager-owner Gracia Guerrero, sought relief from operating a nightclub after a 2022 shooting and staffing and regulatory burdens. Carrigan said the proposed manager, Louis Garcia, "is an experienced restaurateur" ready to convert the business to a Mexican restaurant and focus on daytime service and lunch.

The matter drew extended comment from Tom Morgan, attorney for the building owner, who said the landlord has repeatedly found unpermitted work, incomplete building permits and safety issues at the premises. Morgan told the board the fire department was unable to enter the building during an inspection on Jan. 6 because a basement access door would not open, and he said National Grid had turned off power after finding an altered electrical panel.

Director Ruiz and inspectional-service staff confirmed inspections and enforcement activity have been ongoing. Carrigan and others said some repairs and permit work have been done and that at least two civil matters related to the property and business are pending in court: a lease case in the local housing/district process and a separate matter in Essex Superior Court. Carrigan said the dispute had been referred to the district attorney and a pretrial conference was scheduled in March.

Board members and city officials repeatedly told the parties the licensing board is not a tribunal for private landlord-tenant or contract disputes and urged the parties to pursue the courts for claims of breach or unlawful conduct. Commissioner Laird noted that future renovations must be permitted and approved by inspectional services and the licensing board before work begins.

Despite the contested background, Commissioner Laird made the motion to approve the management transfer and DBA change; Commissioner Morales seconded. The board recorded votes from Commissioner Lea and Commissioner Morales in favor, and the chair declared the motion passed.

The board’s action changes only the license holder/manager and the business name on the city’s license; Carrigan said operational hours would generally remain the same and that the prospective manager understands municipal rules for inspections, camera systems and removing minors from the premises at required times. Inspectional and fire-department concerns noted during the hearing remain subject to code enforcement and any court outcomes.

The licensing board’s approval does not resolve the separate court cases or the landlord’s allegations about unpermitted work and electrical alterations. City staff said they will continue to coordinate inspections; Morgan asked that unresolved permit and safety matters be addressed through the building-inspection process.

Speakers quoted in this article spoke during the licensing-board hearing and are recorded in the meeting transcript.