STACEY Q, KPWR-FM ON THEIR WAY

A lot of people have been caught off guard by the sudden rise of KPWR-FM (“Power 106”) to the top of the Los Angeles rock radio heap, but singer Stacey Q isn’t among the bewildered.

Just as KPWR has overtaken previously untouchable L.A. rock radio leader KIIS-FM, Stacey Q’s infectious local hit “Two of Hearts” is on its way to becoming a nationwide success.

Stacey Q’s success has mirrored that of KPWR--the first station to play “Two of Hearts”--because both have recognized and capitalized on a growing dance music resurgence in Southern California.

The propulsively rhythmic, synthesizer-dominated music that was known--and later hated--as “disco” in the 1970s is making its comeback as “Hi-NRG,” or just dance music.

But until KPWR’s spectacular jumps in the last two Arbitron ratings books and until unknown acts such as Stacey Q started selling thousands of self-financed records on independent labels, there was little evidence of the dance music upsurge in the music industry. That’s because the movement was taking off in East Los Angeles-area communities such as Montebello and Pico Rivera, areas where radio programmers and record label scouts rarely tread.

“I knew we were doing something a lot of people weren’t aware of,” said Stacey, who grew up in Anaheim and now lives in Fullerton.

During a recent interview at the La Habra studio where “Two of Hearts” was recorded, Stacey, who admits only to being in her “mid-20s,” said: “The record companies’ A&R; (artists & repertoire) people aren’t going to record stores in East L.A. to see what kids are buying.”

On the infectious single, which features Stacey’s sultry, sex-kittenish vocals, she is backed by the same four musicians--Jon St. James, Karl Moet, Rich West and John Van Tongeren--who previously recorded with her as the group SSQ.

Although SSQ’s 1984 “Playback” album was the first release under a major label distribution deal Enigma Records struck with EMI America Records, it never took off, despite heavy local air play for the single “Synthicide.”

So for “Two of Hearts,” the group distributed the 12-inch single on its own label and, through the exposure in Southern California dance clubs, sold nearly 20,000 copies and drew the interest of major record companies.

Stacey and her band can rightfully take credit for the initial success of “Two of Hearts.” They not only wrote, performed, recorded and distributed the record themselves, but Stacey and the other band members spent most of last summer building the studio it was recorded in.

“I’m very proud of what we did,” she said. “We did all of our own PR, went to the record stores and if it was No. 1 that week, we took more records, buttons, posters and T-shirts to say thank you. We did all the things we had done before we got a major label deal (the first time).”

Since Atlantic Records signed Stacey in June and distributed “Two of Hearts” nationally, the record has reached No. 31 and is still climbing Billboard’s Hot 100 singles chart. Based on the record’s performance so far, Billboard chart analyst Paul Grein predicts it will reach the Top 10.

As a result, Stacey has been on a whirlwind schedule to capitalize on the single’s momentum. In between quick trips around the country for performances in cities where the song is catching on, she has shot the video for “Two of Hearts” and recorded the album, which is scheduled for release Aug. 25.

The East L.A. dance club circuit that launched the record represented a departure in several ways from the Southland concert clubs. First, performers usually play sets lasting only 20 to 30 minutes. Live music is sandwiched between aspiring disc jockeys who spin records on elaborate and powerful sound systems.

“Some singers would just come and lip sync their record or sing over the (prerecorded instrumental) track,” Stacey said. “So when we came and actually played, they loved it. It’s funny--you hear stories about East L.A. and how scary it is. But we’ve had 500 to 7,000 people at our shows, and we’ve never had one problem.”

Another difference is that the dance concerts are often presented by teen-age promoters rather than the established Southern California concert promoters. Yet they are extremely popular. On a weekly basis, upward of 5,000 youths pay $10 to $12 each for admission to halls such as the Pico Rivera Sports Arena or clubs such as Brandi’s in Montebello.

The popularity of dance music is now expanding beyond Los Angeles, and such shows are beginning to reach suburban venues in Orange County, such as the Anaheim Convention Center.

That means more money for the performers than they would get in rock clubs, where paychecks of $25-$100 per act are typical, if they are paid at all.

“They pay me good money to play those dance parties, and they’re just young kids,” Stacey said. Even before her “Two of Hearts” record took off, she said she typically received $750 to $1,000 a night.

“They broke this record. Now they’ll give us anything we want,” she said.

“This is definitely the way to go for any band whose music is remotely dance oriented,” added songwriter/keyboardist St. James, who consulted with popular dance show disc jockeys for tips on how to successfully engineer and mix a hit dance record.

Before turning to music, Stacey, who was trained as a dancer and model, toured for about six months as a showgirl and elephant rider with the Ringling Bros. and Barnum & Bailey Circus.

She met St. James in 1981 at his Casbah recording studio in Fullerton, where, among the many local acts that used the studio, Berlin recorded its “Pleasure Victim” album. Upon meeting Stacey, St. James recalled telling her, “I’m going to make you famous.”

“And she believed it,” he added jokingly. “Actually, it wasn’t just a line. When I saw her I really thought, ‘This girl could be famous.’ ”

St. James formed the SSQ band around Stacey, and the group released the “Playback” album.

Although “Two of Hearts” is only now beginning to receive widespread exposure, the group is already looking down the road to the next single.

“I really thought about writing ‘Three of Hearts’--you know, another ‘Two of Hearts’--but when I tried I realized I couldn’t do it,” St. James said.

“There have been a lot of people interested in managing Stacey because of ‘Two of Hearts,’ ” said St. James, who has also been handling the group’s management responsibilities. “But I want to see who’s still calling when the next single comes out.”

As for Stacey, she’s not worrying about whether the current popularity of dance music represents a sustainable trend or just another fad that will peak and then die.

“Why worry about something like that?” she said. “I believe things happen for a reason. It’s obvious to me that the time wasn’t right before for SSQ. But we didn’t give up, so we deserve this now. I can’t complain and say ‘God, it’s about time,’ because there are so many talented people who never get a chance, especially in the music business. So what happens next? Nobody knows--but I’m sure having a good time right now.”

SUN CITY, WHERE? During Graham Nash’s opening set for Joan Armatrading on Tuesday at the Pacific Amphitheatre, the veteran singer-activist introduced a new song as “my response to an invitation that Crosby, Stills & Nash received to perform at Sun City, South Africa”--the entertainment complex that many pop music performers have boycotted in protest over apartheid. After Nash’s set ended, the following conversation between two men was overheard: “How’d you like that song about Sun City?” the first asked. “Sun City, California?” said the second. Long pause. “No. Sun City, South Africa,” replied the first. “Oh,” the second man said. “What happens there?” . . . And from the “Is It Live or Is It Microchips” file: Nash used synthesized instruments extensively in his show, replacing a bass player and drummer entirely with pre-programmed synthesizer tracks. Nash was accompanied only by a guitarist and keyboard player, and at one point the trio stopped mid-song while a microchip drum solo played. Later, as a lead-in to Nash’s “Wind on the Water,” the stage lights went down and the group stood by and listened--along with the audience--to a tape recording of David Crosby’s “Critical Mass.”

LIVE ACTION: Tickets go on sale Sunday for three Pacific Amphitheatre shows: R.E.M. (Sept. 24), Air Supply (Sept. 25) and Steve Winwood-Level 42 (Oct. 24). . . . Kiss--The Club, formerly Deja Vu in Newport Beach, is starting an experiment with original music bookings with a concert Monday featuring Dream Syndicate and Children’s Day. . . . Smithereens will perform at the Coach House in San Juan Capistrano on Aug. 31. The Robert Cray Band and the James Harman Band will be on a double bill at the Coach House on Sept. 11. . . . Rik L. Rik will play Safari Sam’s in Huntington Beach on Aug. 29, followed on Aug. 31 by Alex Chilton.