Jimi Hendrix and his new band played at several places in New York, but their primary venue was a residency at the Cafe Wha? on MacDougal Street in Greenwich Village. The street runs along "Washington (Square) Park" which appeared in at least two of Hendrix's songs. Their last concerts were at the Cafe au Go Go, as John Hammond Jr.'s backing group, billed as "The Blue Flame".
In 1968, Hendrix and Jeffery had invested jointly in the purchase of the Generation Club in Greenwich Village. Their initial plans to reopen the club were scrapped when the pair decided that the investment would serve them much better as a recording studio. The studio fees for the lengthy Electric Ladyland sessions were astronomical, and Hendrix was constantly in search of a recording environment that suited him. In August 1970, Electric Lady Studios was opened in New York.
From late 1968 he began tying scarves to one leg and one arm, and in mid-1969 he gave up the hat for bandanas. He started wearing increasingly fantastic custom-made stage costume with long trailing sleeves, culminating in his African-styled "Fire Angel" outfit that he wore throughout most of his final "Cry Of Love" tour, until it began to come apart during the Isle of Wight concert. He appeared in this outfit only once more (in just the jacket) at the disastrous concert in Aarhus, Denmark. His only non-work-related vacation was a two-week trip to Morocco in July 1969 with friends Colette Mimram, Stella Benabou (the then-wife of producer Alan Douglas), and Deering Howe. Upon his return Hendrix decorated his Greenwich Village apartment with Moroccan objets d'art and fabrics. Mimram and Benabou created some of Hendrix's most memorable later attire, the shortened blue kimono-style jacket that he wore in three TV appearances and the white fringed jacket, ornamented with blue glass beads, he wore at the Woodstock Festival.