The slow, painful death of Sydney nightlife continues

Sydney's nightlife scene has been hit by another massive blow.

The hospitality giant Keystone Group, which owns eight bars in Sydney and numerous more venues across the country, has announced it has gone into receivership. What is a city without a trashy night at Kit & Kaboodle or a few too many vodkas and sodas at Cargo Bar?

The company's stable of restaurants and bars are well-known haunts for the youth of Sydney. It owns Bungalow 8, Cargo Bar, Jamie's Italian, Kingsleys, the Sugarmill Hotel, the Rook, the Winery, Gazebo and the Chophouse. 

It may be a move away from the mega pubs in favour of small bars, it could be that people are staying on their couch watching Netflix, or it may simply be another victim of Australia's lockout laws. 

It has been a hard few years for anyone who actually enjoys a drink in the Australian city after sunset. Dozens of bars and nightclubs have closed their doors after the introduction of strict lockout laws prevented people entering bars after 1:30 a.m. in the city and reduced foot traffic in a major nightlife area, Kings Cross, down to non-existent. 

Many critics of the state government's harsh regulations claim it has killed the city's culture. Supporters believe alcohol-fuelled violence in Sydney is an epidemic that needed to be stopped with government intervention. The Keystone Group has not suggested that the lockout laws played a role in its downfall.

Instead, the company blames its financial structure for the receivership and notes that the hospitality market in Australia is "buoyant." The thousands of youth -- who have come out to protest for a free and open nightlife -- would no doubt beg to disagree. 

Receiver Morgan Kelly said in a statement, according to The Shout, that each venue would be assessed for sale and it would be business as usual in the meantime.

“Given the current buoyant hospitality market we anticipate a lot of interest in the sale of the venues. The venues in the Keystone Group comprise some of the most iconic and well-known brands in their respective markets," Kelly said. 

“The sale of the group represents a unique opportunity for the right operator and is particularly suited to hospitality specialists interested in expansion. The sale process is expected to commence shortly."

Last drink, anyone?

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