A NIGHT out in Airlie Beach is rarely complete without a drink at KC's but from March 31, the popular venue will be closed.

KC's owner Chris Chengody said business had been bad for quite some time and particularly since the main street upgrade started. He said he could no longer afford to remain open while the world outside his window was a construction zone and had therefore made the tough decision to close.

"I'm not that dirty on the guys [at Probuild Civil] - they've got a job to do and it's not going to be done overnight - we all understand that," he said.

"But if I keep going backwards, well I won't be able to keep going and that's the point."

"If you keep losing money, you get to a point where you run out of it."

Last Thursday Mr Chengody spent the best part of the day on the phone to local musicians and members of staff to give them the bad news.

"It wasn't a great day," he said.

"But they're all saying 'I don't blame you'."

Mr Chengody said he would look at re-opening KC's whenever the main street upgrade was finished.

"I'm thinking maybe August, but if this is still going on - I mean I can see six months work just in the roundabout here - well I'll just wait," he said.

Mr Chengody said popular local musician Mark Roberts was already booked to play the last night on Sunday, March 31.

"The last night will be pretty huge. Lots of people are talking about it already," he said.