So what is the Fight Loft? Well, the Fight Loft is an interdimensional space that the boss of the Char Loft uses when he wants to train his minions - and which he has now opened for the denizens of Char Loft to access through a concealed door in the floor. The door is activated via a hidden lever behind the bar, and opens to reveal a ladder (what sort depends on what arena is currently in play) that leads down to the battle arena.
From the arena, competitors can summon the Arena Master by announcing his name (Sothark), in order to make changes to the arena or to serve as referee for a Match. By default, the arena and match settings are determined by whatever match was previously held within the arena.