Burlesque backlash?

Ivan Kane's efforts to open a Forty Deuce "Burlesque Club" on the Lower East Side seem to have been stopped by the refusal of a liquor license. I think this is great news, although as the fight against his club by the shrinking community of Little Italy developed, an uncertainty crept through the burlesque community here; the LES and its environs are the focal point of the current burlesque scene and the hope is, backlash against the Forty Deuce doesn't impact other, smaller shows already in existence. This discussion has been making the rounds of the burlesque blogs, most cogently on Jo Weldon's Daily Burlesque which is worth reading anyway if you're into this kind of thing.