Rubiberry: Thank you for responding, I appreciate that! But, unfortunately I have taken everything off and it still wont let me..saying the same, "gotta drop my armour and gear". There are still the basic bolts showing and stuff for Roach. I am a bit unnerved by this because a previous play I was a level 20 something and I could not get out of a quest that wasn't working. So, I stopped playing for quite awhile. I would be sad to do that again..
Hickory: Try removing all of your gear and meditate for 24 hours -- do NOT use any potions etc. Maybe it's some buff you have (just a guess).
Well that was a great suggestion, hadn't thought about buffs. Unfortunately, it didn't work. Can't talk to anyone involved with bugs or anything I suppose. I tried before to contact CD Projeckt Red that didn't work. There is a way out but this looks to be pretty essential..
Update! I left bummed, died, and the game loaded back to my leaving the lab. Tried it again and it worked! YAY! So anyone having this problem, actually leave the lab, then try it again! Thanks Hickory!