After a glitzy seven-month run, KAOS nightclub has closed. The dual day and nightclub housed at Palms Casino Resort in Las Vegas was the crown jewel of the hotel’s intensive $690 million dollar renovations.
A newcomer to Sin City’s nightlife circuit, KAOS attracted preeminent artists such as Cardi B, Skrillex, Travis Scott, and Marshmello, all of whom were featured in KAOS’ opening lineup and ad campaign in January 2019.
Red Rock Resorts, the parent company of the Palms, formally announced that it would cut the lights on KAOS on Nov. 5, due to the high costs associated with the club’s operation.
While Palms has experienced exceptional growth across both the gaming and non-gaming segments of the business, the expense side of the business has been challenging to date, due in large part to the entertainment and fixed cost structure associated with KAOS.
Therefore, we have decided to take some time to reassess the programming and use of those venues going forward.
-Red Rocks Resorts vice president, Michael Britt
Britt said Palms will continue to use the spacious 73,000 square foot dayclub, 29,000-square-foot nightclub for “private meeting space and special events, in addition to everyday resort pool operations.”
KAOS’ closure is timely: on Nov. 5, Red Rocks Resorts also reported a net income loss of $26.8 million for the third quarter of 2019. The company attributed its decline in net income to “one-time charges relating to the termination of certain artist performance agreements and employment arrangements at the Palms.” The company also cited higher depreciation and amortization relative to the Palms’ redevelopment as influencing factors in a press release.
H/T: News 3 Las Vegas
Photo credit: Clint Jenkins