Big Apple Closes Adult Business Loophole

NEW YORK — Jets Stadium on Manhattan’s West Side will be the biggest landmark in one of the city’s rezoned adult districts, an appellate court said.

The ruling forces many adult businesses to close shop and move to industrial areas on the island and outer boroughs.

Owners of adult businesses have been squeezed by the city since 1995, when the so-called “60-40 rule” mandated that businesses devoting more than 60 percent of their floor space to adult materials would have to close or move to designated zones.

One store, Bailey’s near Times Square, famously responded by stocking Disney’s “The Lion King” in six out of every 10 feet of the store, filling the remaining space with adult videos and novelties.

When the Giuliani administration moved to close the loophole in 2001, a consortium of adult businesses took the case to the state Supreme Court, which called the city’s actions unconstitutional. The appellate court reversed this.

Mayor Michael Bloomberg, running for reelection, is proposing a $1.7 billion stadium for the Jets, and the city is competing with Paris to host the 2012 Olympics.

Bloomberg lauded the court’s decision, saying, “New Yorkers won't have to push their strollers past porn shops, have topless bars for neighbors or have to worry about peep booths in the back of their corner magazine store."

But detractors say the city will lose millions in tax revenues if all businesses on the wrong side of the 60-40 rule are forced into “adult ghettos.”

"Businessmen don't go out of their way to see dressed women dance," said Mark Alonso, a lawyer for Ten’s Cabaret on E. 21st Street near midtown Manhattan. The Cabaret would have to move several blocks west to the banks of the Hudson to be in accordance with the new rule.

Adult business proprietors can still sue in the state Supreme Court, but without an automatic appeal if the decision goes against them. In the meantime they are seeking a temporary injunction so the city does not close their businesses at their present locations.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Aubrey Kate, Charlotte Sins Star in New Transfixed Release

Aubrey Kate and Charlotte Sins star in the latest release from Transfixed, titled "Saved by the Bolster."

Connie Perignon, Angel Youngs Lead Latest From Jules Jordan

Connie Perignon and Angel Youngs star in the latest release from Jules Jordan.

TTS Opens New Los Angeles Testing Location

Talent Testing Service (TTS) has opened a new Hollywood location in Los Angeles.

Kasey Kei, Emma Rosie Topline Joey Silvera's 'Trans-Active 34'

Kasey Kei and Emma Rosie headline director Joey Silvera’s “Trans-Active 34” from Evil Angel.

Octavia Red, Rissa May Topline 'All Natural Lesbians' From Sweetheart Video

Newly crowned XMAs Girl/Girl Performer of the Year Octavia Red and Rissa May headline “All Natural Lesbians” from Mile High Media studio imprint Sweetheart Video.

CalExotics Expands 'Connect' Line

CalExotics has expanded its app-controlled Connect line with three new products, Explorer, Warming Wand, and Advanced Probe.

Harlie Hotwife Makes Her WIFEY Debut

Creator Harlie Hotwife stars with her husband Travis and Prince Yahshua in the latest release from Vixen Media Group studio imprint WIFEY.

Mandii Rose Makes Her Elegant Angel Debut

Mandii Rose stars with Charles Dera in her Elegant Angel debut, titled “Good in the Hands.”

Rachel Rampage Stars in Latest From Kink.com

Rachel Rampage stars with Marcelo in the latest installment of Kink.com's "Divine Bitches" series.

Show More