Oyo Hotel & Casino in Las Vegas Stops Alcohol Sales for Second Time in a Year

Oyo Hotel & Casino, an off-Strip property in Las Vegas, has stopped serving alcohol for the second time in 12 months. This leaves it in the rare position of running a casino floor without any drinks for sale.
According to the Las Vegas Review-Journal, the suspension began at 9 a.m. on Friday, 23 October. The property has not given an official reason and is not answering questions from the media.
Several Theories, None Confirmed
Different explanations have been reported, but none has been independently confirmed:
- A casino employee told Casino.org's Vital Vegas that the problem came from an insurance lapse.
- Other sources suggested the cause could be tax or licensing issues.
A Repeat of Last Year
The latest halt is similar to an incident in October 2025. At that time, Oyo could not sell or serve alcohol for about 10 days after it ended its management agreement with hotel operator Highgate.
Highgate held the property's liquor license. The two sides split over how Highgate handled a cyberattack in January 2025. That attack exposed the personal information of around 4,700 casino and hotel guests and employees. After the split, Oyo could not legally offer alcoholic drinks until the licensing issues were sorted out.
Ongoing Reputation Problems
Losing alcohol sales is a serious setback for a casino that is already dealing with a damaged reputation.
In August, Oyo faced criticism when major booking sites, including Expedia and Booking.com, listed the property under the names "Palette Las Vegas" and "Collection O Las Vegas". Critics said Oyo was trying to move away from the poor customer reviews linked to its main brand.
Oyo's parent company, Prism, said the listings were connected to planned branding changes. It added that the names should not have appeared publicly before renovations were finished. So far, however, no rebranding has taken place.
Possible Change in Casino Operator
Also in August, reports said Fifth Street Gaming was preparing to take over casino operations at Oyo. It would replace Paragon Gaming, the casino's long-time operator. The change still depends on regulatory approval.
It is not yet known how long the current alcohol suspension will last.
Source: Casino.org
