Owners of ‘50s-Style Club Plan to Operate Chain : Nostalgia Not a Thing of the Past at Hop

The Hop--its owners hope--is about to take a big leap.

Riding the crest of the ongoing nostalgia wave, the 1950s-style nightclub in Fountain Valley, co-owned by the Righteous Brothers and Pacific Southwest Equities of Laguna Hills, will expand into the Los Angeles area this month as owners draw plans to turn The Hop into a national chain.

The Lakewood Hop is scheduled to open in mid-April. That, however, is just the beginning of big growth plans for the popular night spot. Its owners say The Hop is expected to expand into six new Southland locations within the next two years.

Two new clubs are planned later this year and The Hop’s owners said they expect to establish a franchise company within the next three months and eventually expand the concept outside of California--primarily in the Southwest.

“The ‘50s have proven to be a magical era,” said Bill Medley, the deep-voiced half of the Righteous Brothers and co-owner of the club. “People don’t come here on a whim. They come here because this era is a part of their lives,” said Medley, who grew up in Santa Ana and, with partner Bobby Hatfield, often performed at the Retail Clerks Union hall in Buena Park in the Righteous Brothers’ early days.

But Medley and Hatfield--best known for such hits as “You’ve Lost That Lovin’ Feeling”--know they do not have guaranteed gold on their hands with the Hop format. They are facing increased competition in a very volatile entertainment sector. Costs are high, too, and a new club can cost in excess of $2 million. Also, typical patrons of ‘50s-era clubs continue to age into their 40s--and many of them are staying home more often. As a result, nightclub owners and music industry critics are generally uncertain about just how much longer the decade-old ‘50s fad can last.

“It’s hard to draw an older crowd every night of the week,” said Jack Wade, owner of two Orange County nightclubs, Bandstand and Crackers. “They get set in their ways--and some of them just don’t have the energy,” he said.

Energy, however, is one thing The Hop is not lacking. The place is designed to resemble a high school gymnasium, and many patrons do, indeed, return to the sock-hop styles and smiles of yesteryear once the music begins. It is a club where the over-30 set goes to act like the under-20 set.

“Most people my age should be home with their kids,” said Sally Stone, a 36-year-old waitress from San Juan Capistrano who waited in line for a good seat before a recent Tuesday night concert at The Hop. “I’m here because I don’t have any kids,” she said.

The songs that patrons hear are carefully screened. In fact, the club forbids deejays to play music recorded after 1969--the year Woodstock pumped meaning into music. “That is when the fun stopped,” said Paula Vasu, the club’s general manager and Medley’s fiance. She said that disc jockeys have been reprimanded for playing records made past that date.

Capacity at the Fountain Valley club is 416 customers--the soon-to-open Lakewood club will hold 700--and on many evenings, scores of customers line up outside the club waiting to get in.

But the Fountain Valley location has not always been a smashing success. Six years ago, Medley--now a Balboa resident--opened a restaurant in his own name at the location. It never made money. Medley said he sank $300,000 into the restaurant, then lost $10,000 a month for more than a year. “I got to the point where I just wanted to get the sucker off my back,” said the 45-year old singing star, who still performs 50 live concerts annually--about half of them at The Hop.

In 1982, Medley struck a deal with Bob Copeland, a Laguna Hills real estate developer who suggested a ‘50s-style nightclub at the location. Copeland envisioned wide appeal for a club in which the Righteous Brothers would not only be occasional performers, but also owners. Hatfield, who grew up in Anaheim and now lives in Corona del Mar, owns 1% of the company and Copeland owns 50% through Pacific Southwest Equities. Medley owns the remaining 49% of the club.

Hatfield’s small ownership position was given him in return for the use of his name and his occasional performances at the club. Copeland and Medley are the active partners, Copeland handling business matters and Medley overseeing entertainment.

When The Hop opened in August, 1984, revenues exceeded $100,000 the first month. Monthly revenue now exceeds $160,000, “which is more than we ever anticipated,” said Copeland. He said the club is making money and profits continue to improve. The initial investment was recouped within the first year, he said.

Not all customers come to The Hop to dance. Some come to munch on the burgers and fries served at a tiny, ‘50s-style counter. But food sales only account for about $10,000 in monthly revenues and, cramped for kitchen space, the owners have been unable to bolster that figure. To improve food sales at the Lakewood Hop, a larger, brighter dining area has been built and lunches will be served.

The $2-million Lakewood Hop was funded directly by Copeland--whose Pacific Southwest Equities has built more than 800 homes in California--and by Medley, who said he was looking for a way to invest money from records, concerts and an expected jump in income this summer when the latest Sylvester Stallone movie, “Cobra,” is scheduled for release. The movie’s title song, “Living on Borrowed Time,” is sung by Medley.

Medley and Copeland are negotiating to open at least two more Hops this year--in the city of Industry and Riverside. They also hope to open one in San Diego next year but still are looking for bank financing, Copeland said.

With an eye on growth outside California, Copeland said he expects soon to set up franchise operations in Texas and Oklahoma. “We knew from the first day we opened that we’d eventually be opening a lot of clubs.”

The longevity of the ‘50s craze, however, does have Medley concerned. “I think it’s a viable concept for another 20 years,” he said, then added, “at least I hope it is.” If ‘50s music fades, he said, the club could eventually switch to a ‘60s format.

That might not be necessary, according to one music industry critic who thinks that ‘50s music has staying power. “It was the last innocent time,” said Paul Grein, columnist for Billboard magazine. “There’s been sustained interest in ‘50s music since the early ‘70s. And it’s still going strong.”

But Wade, the competing nightclub owner, wonders if the Righteous Brothers are spreading themselves too thin. “Wait until they get their second and third club and see if they hang out there, too,” he said. “That’s what makes the club work.”