Regional Victoria’s music scene was dealt a heavy blow this month when The Palais in Hepburn Springs closed its doors on January 6, with the venue’s management announcing that despite renovations to the live music venue and a healthy booking schedule it was unable to financially continue operations.

Located near Daylesford, Victoria, The Palais re-opened its doors in June 2011 with a special launch show from You Am I frontman Tim Rogers, following seven months of major renovations to its 1926 wooden dance floor, while retaining the venue’s art deco origins.

Under the management of locals Matthew Goodison and Korrina Glen, the venue hoped to bring “some of the best musical acts from Australia and overseas” to the historic venue, but unfortunately, financial issues and problems with re-negotiating the lease led to its closure last week.

While the venue will be missed, The Advocate reports that music promoters are claiming they are owed money by operators of The Palais, calling for accounts to be settled in light of its recent closure.

The likes of Renee Geyer, Ross Wilson, and the Black Sorrows are among the list of Australian talent awaiting payment for recent performances at the regional venue.

Promoter Duane McDonald tells the paper that promised reimbursement for recent gigs had not been paid, and that performers were stil awaiting payment for travel and accommodation expenses, as well as salaries for performing acts.“These are very large sums of money for some performers and this situation has been going on for some months.” – Duane McDonald, concert promoter

“These are very large sums of money for some performers and this situation has been going on for some months,” he said. “A lot of agencies and promoters have been burned by the current operators and I am not optimistic that there is going to be a good resolution considering the business is struggling.”

It seems to be the latest in a string of money problems for The Palais, which seems to have dried up in recent months leading to its closure last week.

The Ballarat Courier recently reported that lease negotiations for the Hepburn Springs venue had collapsed between Matthew Goodison and Korinna Glen and the property owners, who refused to re-insate the lease instead deciding to auction the building off as a vacant possession.

Mr Goodison however tells The Advocate that he’s welcome to correspondence from promoters owed money by the business.

“Promoters, artists and venues need to work together to come up with a better formula for presenting live music at venues,” remarked Goodsion. “The present structure of the way bands and acts are promoted and paid is not working for venues.”