Officials say the $4 million club actually shut down in October when its lease expired.
Club spokesman Ron Berkowitz told the Press of Atlantic City the club has not operated since Superstorm Sandy flooded it and tore a hole in the roof, right around when its lease ended.
A spokesman for Tanger Outlets The Walk, which owns the building, disputed that account, saying the club sustained no storm damage of any kind.
Tanger Outlets says the club closed in October, when storm evacuations were ordered for all businesses in Atlantic City, and never reopened. The company says a subsequent inspection of the property revealed no evidence of flooding and no roof damage.
Since it opened in October 2005, the 40/40 Club hosted stars including Beyonce, rapper Lil' Wayne, and rapper and current "American Idol" judge Nicki Minaj, in addition to numerous sports celebrities.
The Associated Press contributed to this report.