Castaways
A Polynesian-themed hotel and casino on the Las Vegas Strip that operated under the Castaways name from 1963 until 1987.
Last updated August 25, 2026
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Overview
Castaways was a hotel, casino, restaurant, showroom, and entertainment property on the Las Vegas Strip in Paradise, Nevada. Although the Castaways identity dates from 1963, the site had a longer and financially troubled history. It began in the 1930s as the Mountain View Auto Court, a small motel later renamed the Sans Souci. The property was expanded into the Sans Souci Hotel in 1955 with an 82-room building and an Olympic-size swimming pool. Casino, restaurant, and showroom facilities followed in 1957, but the gaming operation quickly encountered financial and regulatory problems. The Sans Souci casino and showroom closed in 1958 after operating difficulties, litigation, bankruptcy proceedings, and federal action connected with unpaid cabaret taxes. A court-approved reorganization allowed the gaming and entertainment facilities to reopen in 1960, but the property again entered bankruptcy in 1961. It was sold at a bankruptcy auction in 1962 to Las Vegas investor Ben Jaffe, who had previously developed a Castaways motel in Miami Beach. Jaffe remodeled and expanded the Nevada property and relaunched it on September 1, 1963, as the Polynesian-themed Castaways. The resort's visual identity relied on tropical and Polynesian imagery, entertainment, dining, casino gaming, and novelty attractions. Its signature attraction was the Gateway to Luck, a replica of a Jain temple originally constructed for the 1904 St. Louis World's Fair. The property also presented live stage entertainment, including musical revues and appearances by comedians and performers such as Redd Foxx, Pearl Williams, Lili St. Cyr, and Hank Henry. A larger showroom stage was added in 1969, while the hotel and gaming facilities were periodically remodeled. The casino operation repeatedly changed hands and suffered several closures. The gaming facilities shut down in December 1964 because of financial problems, reopened under a new operating group in 1965, and closed again before reopening in May 1967. Later that year Howard Hughes acquired the entire property for approximately $3.3 million, making Castaways the smallest of the six Las Vegas casinos associated with his empire. Hughes's companies continued operating the resort, with Summa Corporation later overseeing his casino holdings. Table games were temporarily closed in 1971 for remodeling, and a larger renovation and expansion program was completed in 1981. In 1986, Steve Wynn purchased Castaways and adjacent vacant land for a planned new resort. The hotel-casino remained open temporarily under a lease and operating arrangement involving Summa, but closed on July 20, 1987, after a farewell event attended by casino and entertainment figures. At closure, the property had 228 rooms and approximately 650 employees. The buildings were subsequently demolished, and The Mirage opened on the site in 1989. The Castaways name was later applied to the former Showboat Hotel and Casino on Boulder Highway beginning in 2001, but that later use was a separate operation from the original Strip property.
History
The site associated with Castaways originated in the 1930s as the Mountain View Auto Court, a small motel serving travelers in the Las Vegas area. In 1939, W. R. Miller and Dr. Freeman H. Smith acquired the property and renamed it Sans Souci. Burton Miller and his wife became owners in 1941, and the property changed hands again in 1946 when Las Vegas attorney H. Cleveland Schultz purchased it. A major redevelopment culminated in the opening of the Sans Souci Hotel on August 21, 1955. The project included a two-story, 82-room hotel and an Olympic-size swimming pool, with plans for a casino, nightclub, and restaurant. Gaming and entertainment facilities opened on October 23, 1957. The casino was operated by George E. Mitzell and Harold V. Hinds, and the 400-seat Jamaica Room provided a venue for live performances. Expansion proposals were made, but the operation soon became entangled in financial and legal difficulties. In 1958, a meat company sued the Sans Souci over an unpaid bill, while performer Charlie Ventura filed a separate lawsuit after falling on the casino stage. Potential investors Jerry Kastner and Arthur Rozen agreed to provide operating funds, but Kastner ultimately purchased less stock than initially discussed and later claimed that the opportunity had been misrepresented. The casino and showroom closed in August 1958, and the property entered bankruptcy. Federal agents also seized money in connection with unpaid cabaret taxes. The Sans Souci pursued damages against Kastner, but a court ultimately ruled in his favor. A federal judge approved a reorganization plan in 1959. Under the plan, the casino, showroom, restaurant, and bar were to be leased to a new operating group. The showroom reopened in May 1960, and the casino received approval to add table games after initially being licensed only for slot machines. In August of that year, Internal Revenue Service agents seized ten slot machines because required tax stamps had not been purchased. The property entered bankruptcy again in November 1961 after major creditors rejected proposed financial arrangements. It owed more than $900,000 and was sold at a bankruptcy auction in November 1962 for $749,600. The purchaser was Ben Jaffe, a Las Vegas investor and owner of a Castaways motel in Miami Beach. Jaffe remodeled the Nevada property, added hotel rooms, and adopted a Polynesian theme. The resort reopened as Castaways on September 1, 1963. Its casino was operated separately from the hotel under a landlord-operator arrangement. Ike P. LaRue and Everett Eugene McCarlie initially ran the casino, while Fred LaRue also participated as an investor. The property added the Gateway to Luck, a replica of a Jain temple built for the 1904 St. Louis World's Fair, as a distinctive attraction. The casino's financial instability continued. Gaming, restaurant, and bar operations closed in December 1964, although the hotel stayed open. A replacement operating group proposed a $100,000 investment and received state approval to reopen the casino and showroom in October 1965. That operation lasted only about three months. The casino reopened again in May 1967 under Oliver Kahle. Several months later, Howard Hughes agreed to buy the property, and the Nevada Gaming Commission approved the approximately $3.3 million transaction in October. At that time, Castaways had ten table games and 152 slot machines. Hughes owned the property through Hughes Tool Company and subsequently through Summa Corporation, which was established in 1972 to oversee his casino interests. The resort continued to offer hotel rooms, gaming, restaurants, and live entertainment. A larger showroom stage was added in 1969. Table games were suspended in October 1971 so the casino could undergo a $250,000 remodeling; additional work continued into 1972. The property ultimately completed a $2.5 million renovation and expansion in 1981. The Castaways also remained known for stage entertainment and themed attractions. Its early programming included performers dressed as mermaids, while the Samoa Room presented productions such as Bottoms Up, Happy-Go-Lucky, Watusi Scandals, and Cotton Club Revue '70. The venue hosted comedians including Redd Foxx and Pearl Williams. The Gateway to Luck later became controversial after the Jain Center of Southern California objected to the use of a temple replica as a commercial attraction. Summa offered to sell the structure for $250,000 rather than donate it. In 1987, after the resort closed, the replica was dismantled and donated to members of the Jain community in Las Vegas; it was later reconstructed at the Jain Center of Southern California. In October 1986, Steve Wynn bought Castaways and adjacent vacant land for $50 million, intending to replace the aging property with a new resort. Summa continued operating the hotel-casino temporarily under a lease arrangement. A farewell celebration took place on July 19, 1987, and the property closed the following day. It then had 228 rooms and approximately 650 employees. The buildings were demolished, and Wynn's Mirage opened on the former Castaways site in 1989. The name was later used for the former Showboat Hotel and Casino on Boulder Highway from 2001, but this was a later and separate use of the brand.
- 2001
Castaways name reused on Boulder Highway
[1]The name was applied to the former Showboat Hotel and Casino on Boulder Highway in a separate later operation.
- 1989
The Mirage opens on the former site
[1]Wynn's replacement resort opened on the former Castaways property.
- 1987
Castaways closes
[1]The Strip property closed on July 20 and was subsequently demolished.
- 1986
Steve Wynn purchases the property
[1]Wynn acquired Castaways and nearby vacant acreage for a planned replacement resort.
- 1981
Renovation and expansion completed
[1]A reported $2.5 million renovation and expansion program was completed.
- 1971
Table games suspended for remodeling
[1]Table gaming was temporarily closed during a $250,000 casino remodeling project.
- 1969
Larger showroom stage added
[1]The property expanded its live-entertainment capacity with a larger showroom stage.
- 1967
Howard Hughes acquires Castaways
[1]Hughes acquired the entire property after multiple changes in casino operation.
- 1963
Castaways launches
[1]The property reopened as the Polynesian-themed Castaways on September 1.
- 1962
Ben Jaffe purchases the property
[1]Jaffe acquired the property at a bankruptcy auction for $749,600.
Products and positioning
A mid-market Las Vegas hotel-casino differentiated by Polynesian-themed design, live showroom entertainment, restaurants, gaming, and unusual roadside-style attractions.
Hospitality · 1963
Hotel rooms
Accommodation was a core part of the property throughout its history. The Castaways operated as a hotel even during periods when its casino and entertainment facilities were closed. By its 1987 closure, the resort had 228 rooms.
Gaming · 1957
Casino gaming
The casino offered slot machines and table games, although gaming operations repeatedly closed and reopened under different operators. In 1967, the casino had ten table games and 152 slot machines.
Entertainment · 1963
Live entertainment
Castaways operated showroom venues including the Jamaica Room and Samoa Room. Its programming included musical revues, themed dance productions, comedy, and appearances by performers such as Redd Foxx, Pearl Williams, Lili St. Cyr, and Hank Henry.
Attraction · 1963
Gateway to Luck
This attraction was a 14-ton, 35-foot-high replica of a Jain temple originally built for the 1904 St. Louis World's Fair. Castaways displayed it near a wishing well as a themed tourist attraction until the structure was donated after the resort's closure.
Controversies
1980
Objection to Gateway to Luck display
The Jain Center of Southern California objected to the presentation of the temple replica as a commercial tourist attraction, describing the display as disrespectful. The structure was later donated and relocated after Castaways closed.
1960
IRS seizure of slot machines
Internal Revenue Service agents seized ten slot machines after the casino failed to obtain the required tax stamps.
1958
Financial collapse and cabaret-tax enforcement
The Sans Souci casino and showroom closed amid unpaid obligations, litigation, bankruptcy proceedings, and federal seizure of money related to unpaid cabaret taxes.
Marketing campaigns
- 1969Cotton Club Revue '70
United States
Producer Breck Wall developed another revue for the property as Castaways expanded its showroom stage.
Outcome. The show contributed to the resort's live-entertainment offering during the Hughes ownership period.
- 1965Watusi Scandals
United States
Castaways presented a musical show built around the Watusi dance, extending its use of themed stage entertainment.
Outcome. The production formed part of the resort's mid-1960s showroom schedule.
- 1964Samoa Room entertainment program
United States
The resort introduced shows in its Samoa Room, including Bottoms Up and Happy-Go-Lucky, reinforcing its entertainment-led Polynesian positioning.
Outcome. The venue hosted several productions, although the casino and related facilities later closed because of financial problems.
- 1963Polynesian Castaways relaunch
United States
Ben Jaffe repositioned the former Sans Souci as a Polynesian-themed hotel and casino, adding rooms and themed attractions to create a more distinctive resort identity.
Outcome. The property reopened under the Castaways name on September 1, 1963, but its casino continued to experience financial instability.
Brand decisions
1986
Steve Wynn purchases Castaways for redevelopmentM&ABackground
The aging hotel-casino occupied land that Steve Wynn wanted for a new destination resort.
Action taken
Wynn acquired Castaways and nearby vacant acreage and arranged for the existing operation to continue temporarily.
Aftermath
Castaways closed in 1987 and was replaced by The Mirage, which opened in 1989.
Purchase price. $50 million (October 1986)
1971
Remodel casino gaming facilitiesGeneration changeBackground
The casino required modernization while the hotel and slot operation continued.
Action taken
Table games were closed temporarily for a $250,000 remodeling, with further work continuing in 1972.
Aftermath
The property later completed a larger renovation and expansion in 1981.
Remodeling cost. $250,000 (1971)
1967
Howard Hughes acquires CastawaysM&ABackground
The casino had reopened under Oliver Kahle after several previous closures and changes in operating groups.
Action taken
Howard Hughes purchased the entire property from Ben Jaffe and assumed control of the casino operating interest.
Aftermath
Castaways became the smallest of the six Las Vegas casinos eventually associated with Hughes.
Acquisition price. $3.3 million (1967)
1962
Acquire and reposition the bankrupt propertyStrategyBackground
After the property entered repeated bankruptcy proceedings, Ben Jaffe purchased it at auction.
Action taken
Jaffe remodeled the hotel, added rooms, and replaced the Sans Souci identity with the Castaways name and a Polynesian theme.
Aftermath
The property reopened in 1963 but retained a separate and unstable casino operating structure.
Bankruptcy auction purchase price. $749,600 (November 1962)
Sources1 sources
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