Rick's Cabaret plans to transform the former Executive Club on Stemmons Freeway into the largest all-nude adult business in Texas.
With the change to all-nude entertainment, the formerly just topless club will no longer serve alcohol.
Due to open Thursday under the new name of XTC Cabaret, the 25,000 square-foot, two-story club will be the third Dallas-Fort Worth location of Houston-based Rick's Cabaret International.
Club Onyx in Dallas is also run by the company, as well as Rick's Cabaret in Fort Worth.
Company president Eric Langan said the new club will be a Dallas attraction.
"You need to create the nightlife to keep those conventioneers coming," Langan said.
But the city of Dallas didn't make it easy for Langan on Wednesday. City building inspectors visited the club at 8550 North Stemmons Freeway to deliver a red tag, which normally forbids use of the building until code violations are corrected and reinspected.
Langan said inspectors found minor plumbing and electrical problems that will be repaired.
Dallas City Councilwoman Pauline Medrano, who represents the area, said she is not proud to have the largest nude club in Texas in her district.
"We have other things that we can sell our city on," she said. "But they do have a right to have an establishment at that location."
The club has gone by several names in recent years. Previous owners of the Penthouse Key Club had big trouble with police after undercover officers said 21 dancers offered to have sex with them during one six-month period. The city revoked the club's sexually oriented business license but allowed it to reopen in 2007 as the Executive Club.
Langan said the current owner is a publicly traded company that invested nearly $10 million to buy and renovate the location.
He said Rick's Cabaret will not allow shady business at the club. Langan said the new all-nude format is an attempt to improve business and at the same time avoid legal problems with the state over sale of alcohol in a private adult club.
Rick's made nearly $60 million last year -- nearly double the $32 million made in 2007.
