It's likely, at least from the insurance standpoint, that ticketed, live events carry an entirely different insurance requirement (usually per-event) than does an "open door" drinking establishment playing recorded music through any given week.
Even back in the "old days", this particular venue always rotated between ticketed (live) "one-off" special events, and just a place to drink (heavily) and dance to recorded music.
Still ... one of the largest nightclubs in the province closing down at least 50% of their beverage operation isn't something that should go unnoticed in Victoria's post COVID business and entertainment recovery process.
With almost all of Victorias largest live venues still closed down, it remains to be seen if Victoria will ever recover what we had pre-COVID.
There are a lot of big local arts organizations, theatres, and presenters that have maintained a brave face throughout COVID, but there is still a substantial possibility that we will see a wave of last minute announcements similar to this recent DISTRIKT announcement, indicating that certain arts organizations, venues, theatres, and special events will simply not be able to re-open or re-establish as we move forward from COVID.
I think folks would be surprised (shocked?) if they actually knew how precarious the situation is right now for the larger arts organizations and larger venues in town.