|Connects To||Sei'an City|
|Notable Inhabitant(s)||Tsuruya and Kiko
|Items||Fireburst Brush Technique
The Playhouse is a theatre located in Sei'an City. It is owned by Kagu's parents, Tsuruya and Kiko. The theatre shows Kabuki performances and Kagu herself is a popular child actress there. Chibiterasu must first explore the Playhouse with Kagu as her parents and fellow actors have been kidnapped by Demons and locked in it. Sen and Ryo are the bosses of the Playhouse and they possess the Playhouse's theatre puppets, most notably Renjishi, during the fight. It is also where Chibiterasu finds Moegami's constellation and learns Fireburst.
 Role in the Plot
To prevent entry and the possible rescue of the captives, the Demons have sealed the front door. Chibiterasu and Kagu can only enter the Playhouse by means of a Spirit Floor found at the back of the Playhouse.
When in the Playhouse, Chibiterasu and Kagu have to rescue the four stagehands by freeing them from demonic possession. This must be done as their brute force is needed to turn a giant wheel below the main stage which rotates the the stage puppets to the front of the stage. Chibiterasu and Kagu must also free the other performers, Miko Cho (who gives Kagu her Miko Clothes and Prayer Slips upon rescue) and Kagu's parents from their captors. These characters will all relocate themselves to the seats before the main stage. The stage must be prepared and the audience gathered like so in order for the duo to lure out the bosses of the dungeon. The bosses Sen and Ryo must be fought separately at first. Sen will possess The White Lion stage puppet and Ryo will possess The Red Lion stage puppet. After they have been defeated like this, they will join forces to possess Renjishi. After Renjishi has been defeated, with the help of Kagu's Miko powers, the Playhouse will be back open for business and many characters will arrive there. Princess Fuse and the remaining Canine Warriors make their appearance here as they wish to become stage performers.
Spirit Floors play a bit role in the Playhouse. They allow access to many parts of the dungeon, meaning that although it is an unlimited tour dungeon, it can only be explored fully with either Kagu or Kurow as a partner. Without Kagu on his back, Chibiterasu cannot travel on or even see the Spirit Floors. This leads to many puzzles where Chibiterasu must remember the path of the floor, dismount Kagu and lead her across the memorised path until she reaches safe ground and Chibiterasu can Vine over to her. Many switches and Treasure Chests can only be reached by means of Spirit Floors. There are also many Sentry Beasts, such as Dragons, that will try and hamper Kagu's progress across a floor.
Other puzzles include conveyor belt floors that will try and push Chibiterasu into pits. The Playhouse is equipped, strangely, with flame throwers that must often be switched off before Chibiterasu can vine to Kagu.