When we lived out of state, we had a fully finished basement that had a pool table and a huge area. My husband DJ's and he taught my daughter how to do it, and when the party day came, we had tons of people there. Some played pool, others danced and we held dance and singing and limbo contests. Prizes were I Tunes cards, and misc. gift cards. We took videos of the party and placed it on you tube and sent all the guests invites. We made the videos private, so not just anyone could see them.
If you have a big dance area in your home, you can hire a DJ, or one to do his/her thing poolside. If not, you can go to maybe a center where you can rent a room, maybe a local hotel has a small meeting room for a reasonable price to hold your party?
If you don't want a DJ, a playlist or I tunes list can easily be put on shuffle and hooked up to speakers. You can maybe rent a mic that hooks up into a speaker or borrow one from a friend to do the DJing yourself or have your daughter's best friends do it for you! :D
You can ask friends and family to supervise. We sent wristbands that we made with the invites so there were no drug and alcohol house party crashers and we had a "door man" that checked wrist bands and pupils alike. The kids had a blast and a very memorable time. A couple of kids spent the night afterward playing guitar hero and american idol on the playstation 3 into the wee hours with us!