Tori Nelli opened Arena Art Bar at the end of 2023 with a vision to create a space that was "a little more progressive" than other bars and to show "bars aren't just for liquor," envisioning a community space for events and creativity.

From the beginning, though, the bar faced significant challenges which ultimately led to its closure in early November, she said.

Nelli said the 22 S. Magnolia Ave. night spot — with Team Market Group its landlord — saw issues with its after-midnight alcohol sales permit due to a "misunderstanding with the address."

David Barilla, executive director of Orlando's Downtown Development Board, described the city's involvement on the matter as supportive, and said his team wanted to help Arena Art Bar get over the hurdles slowing businesses.

But Nelli said the fact she couldn’t sell alcoholic beverages after midnight during that time resulted in a loss of 40%-60% of her sales.

She added her landlord was supportive, deferring and prorating her rent. Even with the help, after October’s Come Out With Pride and Halloween — both boons in a normal year — Nelli decided to shut down.

“The margins were too low."

On Jan. 28, entities related to Team Market Group filed suit against HPCIC LLC, the entity behind Arena Art Bar, and Nelli related to an alleged breach of the lease agreement. According to court documents, the total amount the landlord claims it is owed under the lease is $566,582.

Arena Art Bar’s Nov. 18 shuttering followed Orlando Mayor Buddy Dyer’s State of Downtown address Oct. 15, during which he described the Magnolia Avenue area as a “pass-through area with no identity and no soul.”

Arena Art Bar’s demise is one in a recent rash of closures downtown.

Five longstanding venues owned by Church Street Entertainment shut down in late November — including Chillers and Ember. OBJ previously reported the closures were widely attributed to increased overhead costs from city ordinances requiring contributions to downtown policing. Church Street Entertainment owners declined to comment.

Broken Strings Brewery at 1012 W. Church St. closed its doors this month, blaming city leadership in part. “The changes being made downtown over the past year, have basically turned downtown Orlando into a ghost town, which has affected our business significantly and we see no way to stay open in 2025,” the owners wrote in a social media post.

On Jan. 17, Shots Bar Orlando co-owner Devon Glenn begged a hearing officer not to suspend his bar’s after-midnight alcohol sales permit, saying that losing revenue due to a suspension could spell the end for his business: “We are already struggling financially and cannot continue to struggle because we will have to close."

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