Vegas Nightclub KAOS Shutting Down ⁠— One Month After Handing Marshmello a $60 Million Contract


The Palms hotel’s high-profile nightclub, which lined up performers like Marshmello and Cardi B, cited “challenging” talent fees as its reason for closure

Now the club, part of the Palms Casino and Resort ⁠— will close for good. Marshmello signed his residency contract back in April after his Fortnite in-game appearance broke records. The contract was rumored to be worth $600,000 each performance weekend, though we’re not sure how much was paid upfront.


In late September, the club released Marshmello from his DJ contract early. Several executive shuffles happened right around that time, as well. Yesterday’s closure announcement did not detail specific names or acts.


Palms’ parent company Red Rock Resorts said the decision was based on ‘untenable entertainment expenses.’

Red Rock Resorts reported a $26.8 million net loss for its Q3 2019 earnings. CEO Frank Fertitta told investors that market conditions make operating a Vegas nightclub difficult.

“It doesn’t appear that the market has grown enough for the amount of supply. The cost of entertainment is excessively high, and we just made the decision to focus on where the fish are.”

Turns out the fish for that bait are probably online ⁠— where DJ fans can attend concerts without an expensive vacation attached. Much of the company’s troubles were blamed on KAOS’ entertainment structure and the fixed costs associated with talent.

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