MIAMI GARDENS, FL-Rick’s Cabaret International Inc. has acquired the 47,000-sf Tootsies Cabaret adult nightclub for $25 million. This takes the Houston-based owner of gentlemen’s clubs’ total unit count to 15 and marks its entry into the Florida market.

Under the terms of the sale agreement, Rick’s purchased all outstanding shares in Miami Gardens Square One Inc. and Stellar Management Corp., Tootsies’ locally based owners, for $15 million in cash and $10 million in promissory notes, payable with monthly interest-only payments and a balloon payment of the principal due in three years. Rick’s also assumed leases on all of the clubs’ property that, with options, run through June 2034.

“We’re keeping the name Tootsies Cabaret,” a Rick’s spokesman tells GlobeSt.com. “There’s a lot of brand name equity in the club, and it does very well. We may, at some point, incorporate the Rick’s identity into the name.”

Tootsies, a multi-level club located at 150 NW 183rd St., has full restaurant service, three liquor bars, a 400-sf theater-like stage on the first floor, more than 30 plasma TV screens, 11 projection screens, a private champagne room and three private dance rooms. The VIP level includes five skybox rooms and other private dance rooms, including one in a replica of a New York City subway car. The property also includes more than five acres of outdoor parking and approximately 200 indoor parking spaces.

Tootsies was ranked Best Adult Club of the Southeast at the 2007 Exotic Dancer Awards Show, according to Rick’s. It features up to 250 entertainers a day who dance fully nude. The new owner anticipates the club will generate approximately $18 million in annual revenues.

Calling it “one of the top 10 adult nightclubs in the entire country,” Eric Langan, Rick’s president and CEO, says in a statement, “this acquisition solidifies Rick’s Cabaret’s position as the premier gentlemen’s club company and has significantly advanced our strategic acquisition policy.”

This October, the company acquired a majority stake in the Crazy Horse Too club in Philadelphia, as GlobeSt.com reported, and rebranded it Rick’s Cabaret. It owns, operates or licenses adult nightclubs in New York City, New Orleans, Houston, Minneapolis and other cities under the Rick’s Cabaret, XTC and Club Onyx brands and also operates adult Internet membership websites.

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