Parliament House Facing Foreclosure

The oldest gay entertainment club in Orlando is facing foreclosure and is headed into receivership, according to court filings.

The $7.5 million mortgage matured at the end of 2009. Attorneys for the creditors said Monday they expect it will be taken over this week by a court-appointed receiver, which would continue the club's operations under court orders.

Entrepreneur Donald Granastein and his wife purchased it in 1999 and have operated it since then.

The couple have been credited with renovating and reinvigorating the somewhat-faded landmark.

Granastein said he didn't have the money to repay the note when it came due. Granastein holds the liquor license and expects to continue operating, even under a receiver.

"Am I happy with this? That's a big no," he said. "But I'm stuck with whatever happens, and we will be open 100 percent."

Lenders have taken the initial steps to foreclose on the property, which is owned and controlled by Grantastein, president of Parliament Partners Inc.; Gerald Cadesky; and the Gardens LLC.