The game takes place five years after the original, in a Las Vegas-like resort called Fortune City. Chuck Greene, a former motocross champion, was in Las Vegas with his wife and daughter, when a zombie outbreak occurred and the city was overrun. His wife became a zombie, and infected their daughter, Katey. Chuck and his daughter managed to escape the city, but in order to save Katey, he constantly had to procure Zombrex for her.
Three years later, he competed in Terror is Reality to get enough money to buy the increasingly expensive anti-zombification drug. Chuck participated the show and won, but after the show an imposter caused an outbreak by releasing the zombies.