Lost Paradise: Remembering the Castaways Hotel & Casino – A Vintage Las Vegas Story

A Brief, Tropical Dream
The Las Vegas Strip has seen countless resorts rise and fall, each leaving its mark on the city’s ever-evolving story. Few, however, had a lifespan as fleeting yet as intriguing as the Castaways Hotel and Casino. Originally the Sans Souci, a struggling property, it was rescued and reborn in 1963 under the ambitious vision of Ben Jaffe, a Las Vegas investor with ties to the Tropicana. The name change to Castaways signaled a dramatic shift – a Polynesian-themed escape intended to lure tourists with its exotic promise.
The design leaned heavily into the popular mid-60s fascination with Polynesian culture. Think lush landscaping, tiki bars, and themed entertainment – all hallmarks of the era’s resort design. Ike P. LaRue and Everett Eugene McCarlie ran the casino, hoping to cultivate a loyal clientele. For a brief time, Castaways offered a distinctive alternative to the established, glitzy casinos that already lined the Strip.
A Rocky Start & a Quiet Savior
Unfortunately, the initial gamble didn’t pay off as hoped. Financial difficulties plagued the Castaways, and just 14 months after its grand opening, the casino shuttered its doors in December 1964. While the casino was dark, the hotel itself remained open, a silent testament to the dreams that hadn’t quite materialized.
Enter Howard Hughes. The legendary, enigmatic billionaire stepped in, acquiring the Castaways for $3.3 million in 1967. Hughes, known for his long-term vision, saw potential in the location despite its recent struggles. While he didn’t radically alter the Polynesian theme, he made strategic investments, most notably adding a significantly larger showroom in 1969, enhancing its entertainment offerings. Further casino renovations followed in 1971 and again in 1981, attempting to keep the property relevant amidst a changing Strip.
A Legacy of Transformation
The Castaways ultimately served a vital, if unintentional, purpose. Its location proved incredibly valuable. By 1986, Steve Wynn, the mastermind behind Golden Nugget, purchased the property for a staggering $50 million. Wynn’s vision was far grander than anything the Castaways had ever offered. He planned to build The Mirage, a sprawling mega-resort that would redefine the Las Vegas Strip.
The Castaways closed its doors for the final time on July 20, 1987, leaving behind 228 rooms and 650 employees. Its demolition paved the way for The Mirage, which dramatically altered the Strip’s landscape and ushered in a new era of mega-resorts. While the name “Castaways” might be forgotten by many today, its short but vibrant story remains a fascinating footnote in Las Vegas history - a reminder of the constant evolution and transformation that defines this iconic desert city.





