Image by Flickr user Chris Campbell

Update: Republic Reign is moving in.

Update February 20: After a failed attempt at an image change, Chai's Lounge is closing its doors for good at the end of the month.

According to The Post and Courier, the 462 King Street space is, "...being leased to a new group that wants to expand the restaurant space by 375 square feet and convert a one-story warehouse behind it to a bar and music venue of about 1,854 square feet."

Update March 28: Chai's has reopened as an Upper King dessert spot.

Here's what we know from Palmer Quimby, General Manager at Chai's:

Wanted to take a moment and let you know that we have reopened Chai's. We are no longer a tapas restaurant. We are now a dessert lounge, with a full bar, great original cocktails, a wonderful beer selection, bottle & draft, and a good amount of wines by the glass as well is by the bottle. We also have a great house coffee blend that we will be serving in french presses. Moving forward we knew that this side of town needed something, something sweet. We found a great experienced pastry chef with all original recipes that she is making from scratch in our kitchen.

Take a look at the image above to see what all is offered (food wise) on Chai's new menu.

First reporting: The bad news is Chai's Lounge and Tapas final night is this Friday, December 31, as the restaurant is closed to be reopened as a new concept. The good news is they're sending the restaurant out with a big New Year's Eve bash.

They'll be doing a masquerade party with burlesque show, balloon drop, party favors, masks, and even some belly dancing and go go dancers. Tickets are $15 advance and $20 day of. (843) 722-7313.

Chai's has been open since 2005 at 462 King Street next to neihboring co-owned restaurant Basil and has been home to many a party and fashion show.