First, it was the roof collapsing, now it's the business: Stonewall Hotel Pty Ltd, the company behind the Oxford Street gay bar Stonewall Hotel, which was recently acquired by US-based Pride Holdings Group, has fallen into administration.
Documents lodged with the corporate regulator, the Australian Securities and Investments Commission (ASIC), at 1.43pm on Friday, March 13, show Vanguard Insolvency Australia's Mohammad Najjar was appointed as administrator. Gay Sydney News received an automated alert from ASIC at 9.09pm on Monday, March 16, that Stonewall had gone into administration.
News of the company going into administration first surfaced on social media, where Instagram user Robbie Norrie posted a photo of a notice on the venue's exterior.
"This business is now under the control of Vanguard Insolvency Australia Pty Ltd. An Administrator has been appointed to Stonewall Hotel Pty Limited pursuant to the Corporations Act 2001 (Cth)," the notice said.
"The affairs and assets of the company are now under the control of the Administrator. Unauthorised removal or interference with company property is prohibited and may constitute a criminal offence.
"All creditors, customers and other enquiries must be directed to: Vanguard Insolvency Australia Pty Ltd Phone: (02) 8028 0141 Email: [email protected]."
Pride Holdings Group has been contacted for comment. It's unclear if Pride Holdings itself has fallen into administration.
As previously reported by Gay Sydney News, Pride Holdings Group reported significant financial pressure in its latest financial results. Listed on the lightly regulated OTC Markets, the company posted a net loss of $US530,906 ($A813,000) for the quarter ending September 30 and a $US1,097,889 ($A1.68 million) loss for the nine months to that date, both larger than the comparable periods in 2024.
As of then, it had an accumulated deficit of $US16,061,176 ($A24.6 million) and ended September with just $US111,329 ($A170,600) in cash, down from $US367,094 ($562,000) at the end of 2024.
Despite its weak cash position and a "going concern" warning – signalling doubt about its ability to continue operating for the next year – in its last financial report, Pride Holdings has been rapidly expanding its portfolio of LGBTQ+ focused hospitality and entertainment venues, largely by issuing new stock rather than using cash.
Officially established on July 25, 1997, Stonewall has been one of Oxford Street's longest-running gay venues, with a 27-year history. Gay club Arq Sydney, which changed management and rebranded as Aura in June las year, opened on August 13, 1999. Most LGBTQIA+ community members no longer consider Arq a gay venue since the rebrand.
While the name might suggest otherwise, Sydney's Stonewall Hotel has no affiliation with the Stonewall Inn in New York, the historic site of the 1969 riots that sparked the modern LGBTQ+ rights movement.
Before the administration notice appeared, the Oxford Street venue had been closed for renovations.
"Stonewall Hotel is still closed for repairs and maintenance," the venue said on Facebook on Sunday.
News of the company going into administration also comes after Pride Holdings Group said it had secured a 10-year lease over the former Kuleto's cocktail bar in Newtown as part of an expansion of the Stonewall brand into Sydney’s inner west.
That venue recently opened its doors as Stonewall Newtown.
Ben Grubb is the founder and editor of Gay Sydney News, an independent publication covering LGBTQIA+ news. A journalist with more than 15 years' experience, he has reported and edited for The Sydney Morning Herald, The Age, WAToday, Brisbane Times, The Australian Financial Review, News.com.au, ZDNet, TelecomTimes and iTnews, primarily on the topic of technology. He previously hosted The Informer, a queer current affairs program on Melbourne’s JOY 94.9 radio station, and contributes to LGBTQIA+ media including Stun Magazine. Ben has also appeared as a technology commentator on Channel Ten's The Project, ABC RN’s Download This Show and commercial radio stations 2UE, 2GB and 6PR. Contact Ben: [email protected]
