I'd prefer the name come with a symbol, to be recognized as an escape room. For example using the initials of the business name LR to create a symbol. Having locks, doors, traps, sand timer etc in the design could help others to recognize it's an escape room business, however this is just a suggestion and I'm open to see what you think will work too! The choice of color to the logo is important as I'll be decorating the actual physical shop according to this brand color.
For the logo style itself, I like cool logo yet it's not way too fancy or over the top, while it also can't be too professional/mature either since this is an entertainment business. With the color, it's the same idea as what I mentioned above, the shop already has many black walls so something that stands out with black background? When using color you might also need to think about the meaning of the business name itself *Lost Reality*, some mysterious color would describe the settings.
Please see attachment for some design I like, and please don't copy the similar idea and only use it as a reference!
Good Luck to you all and hopefully we can work together soon!