If I'm not mistaken, Loft music is that shit I hear up here in Boston at this after-hours place called RISE. It's a two-floor loft/apartment with the main floor being a "lounge" and upstairs is this dark, foggy, thumpin' dance floor. Although people are rolling on E and cracked out on K or Coke, it's still a damn good time. Anyway, back to the question, Loft is still played only at the best of best. In many cases, the underground scene.
Just like El_Boricua stated...early 80's, the underground (nyc)use to play some of that music on certain days. It even started spreading to the fun House & Uno's, one particular track I still remember like yesterday that lofters use to go crazy on was ESG's Moody, Now on vol.2 of The perfect beats collection. There were many others but I'd have to hear them to recall there names. LOFTERS use to have this very unique dance that was very erotic which they did with spins!! Damn...those were the days!!!!!