The Phoenix Cafe is now open in the old Kayo’s Roadhouse location: I don’t know how long exactly, but there was an ad in this weekend’s Bulletin, and their website does in fact say "Now Open."
The new hours of operation are seven days a week: 11:30am to close Monday through Saturday (lunch and dinner), and 9am to close on Sundays (brunch included). The menus don’t look bad at all.
In case you didn’t know where the old Kayo’s was located, it’s on the eastside, across 27th street from the Forum shopping center (Safeway, Costco, Barns & Noble). The address is 594 NE Bellevue.