Kuchi Kopi's Bar is a location in the crawlspace of the Belcher family's home. It was originally discovered by Bob during a rough, delirious couple nights trapped in the walls, when he fell asleep and dreamed it up. The restaurant resembles the bar in the Shining, as Bob becomes increasingly desperate.
In the game, the speakeasy is just present, and opens up to Louise's imaginary world outside. No other real explanation is offered for its existence.
The bar has four doors in it, leading to Crawlspace, bathroom in the bar, kitchen in the bar, and the first outdoor board, called fever dream ground zero.
two of which lead to areas external to it, and two of which lead to other parts of the bar.