It's unclear from the TAR install docs, https://kylo.readthedocs.io/en/v0.10.0/installation/InstallKylo.html, that you need both the TAR and OfflineTAR install files.
Update the install guide with better instructions on how to install via the TAR method.
I tested installation of Kylo using the TAR file and it worked as expected. There is confusion as to what the offline TAR file is used for so I updated the docs to help clarify. The offline TAR file is just the setup folder including all of the application binaries installed.