Cabo Wabo Cantina - Cabo San Lucas, Mexico - Satellite Imagery Oddities on Waymarking.com

Launched in April 1990, the cantina was initially a financial failure, leading Hagar to buy out his bandmates. Under new management, the bar became popular with both locals and tourists as the town quickly grew into a major resort. In 2004, after plans fell through to open in Las Vegas, Hagar opened a second location in the basement of the historic Harvey's casino on the south shore of Lake Tahoe. However, that location has since closed. A third location was opened in Fresno, California in 2008, but had its license pulled by Hagar at the beginning of 2009. Cabo Wabo Las Vegas opened in The Miracle Mile shopping center at Planet Hollywood in November 2009. The club typically attracts an older adult clientele with its mostly rock music selection.

Hagar claims he coined the name after watching a man walk unsteadily along a local beach after a heavy night's partying. Using the town's nickname, Cabo (which means "cape" in Spanish), and shortening "wobble" to "wabo" he said of the man that he was doing the "Cabo wabo." Hagar later used the phrase in his lyrics and title for the Van Halen song. In 1990 he hired Noel Vestri, an innovator in computer graphic designs (including work on Vans Tennis Shoes) to design a logo for the brand, which is still used today.

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