re:Judging from the following phrase it sounds as if blind simply meant hidden, or at least, not calling attention to itself. Perhaps another case of poor translation
poor translation? i don't think so--hunters, and naturalist build blind(s)- small building they can enter, and observe (or hunt) game.

I would fully understand someone saying The hunter remained in the blind all day, and returned home unsuccessful.

--in the context quoted, a blind caberet is one that does not have a sign, (neon lights) or even a name above the door.

There is a hotel, on Madison Avenuen (at 38th street) that cateers to the rich and famous The hotel has no sign, no indication that it is a hotel, the front street level enterence has black glass doors, so you can't see in. It also has a enterence on 38th street, with a very low key doorman in front of an unmarked door-also tinted a dark color.
Of course, i forget the name of the hotel, but, occationally, someone with groupies would be staying there, and the groupies would hang out side the place. Otherwise, most people just didn't see it.--it a blind hotel.