Austin’s Iconic Cheer Up Charlies Sold to LGBTQ-Focused Investment Firm, Plans Expansion Across Texas

Cheer Up Charlies, a vibrant and beloved queer bar and music venue located on Austin’s Red River Street, has long been recognized as a safe haven, cultural hub, and celebration space for the LGBTQ+ community in Texas. This week, the venue entered a new era as it was sold to Pride Holdings, an investment firm dedicated to buying and managing LGBTQ+ entertainment properties across the United States. The deal, finalized in early October 2025, marks a pivotal moment for both the venue and the broader landscape of queer nightlife in Texas and beyond .

Former owners Maggie Lea and Tamara Hoover, who have steered Cheer Up Charlies through years of growth and adversity, will transition out of ownership but remain in leadership roles within the venue’s new management structure. “We’re excited to have a parent company that stabilizes us,” Lea stated. “Our missions aligned, and we felt that this was an amazing stroke of luck and fate” .

Cheer Up Charlies is more than just a nightlife spot; it has become a symbol of resilience and LGBTQ+ community-building in Austin. Known for its inclusive programming, diverse musical acts, and welcoming atmosphere, the venue has hosted countless drag performances, benefit events, and celebrations that unite people across identities. Its reputation extends beyond Austin, making it a touchstone for queer visitors and locals alike .

Pride Holdings CEO Mike Barrett emphasized the significance of the acquisition, stating: “Cheer Up Charlie’s isn’t just a bar—it’s a symbol of community, resilience, and celebration. We’re honored to carry forward its incredible legacy while giving it the resources to grow and thrive. This acquisition reflects our commitment to preserving the soul of LGBTQ+ spaces while elevating them to new levels of visibility, impact, and profitability” .

The sale comes after a period of acute financial distress for Cheer Up Charlies. Like many LGBTQ+ venues, the business was hit hard by the COVID-19 pandemic, resulting in significant revenue losses and mounting debts. Over the summer of 2025, Maggie Lea publicly warned that the venue was behind $58,000 on rent and faced imminent closure if funds could not be raised. In response, the community rallied—raising $58,000 within 24 hours through a fundraising campaign .

It was this show of solidarity that caught the attention of Pride Holdings. According to Lea, “Pride Holdings saw the fundraiser and reached out to say it was buying up bars to save them from closure. The idea, she said, was to ‘create a bigger group to have a voice’ and stop the ‘push toward silencing’ LGBTQ+ and marginalized communities.” The ensuing negotiations were rooted in a shared vision for community preservation and growth .

Looking ahead, Pride Holdings has announced plans to franchise the Cheer Up Charlies brand, with expansion into other Texas cities expected by mid-2026. The move is emblematic of a broader strategy to safeguard and amplify queer nightlife venues, which have faced threats from economic downturns, gentrification, and anti-LGBTQ+ rhetoric and policy nationwide .

Lea expressed excitement for the future: “I want it to live on for as long as possible.” She and Hoover remain committed to ensuring that the venue’s ethos—centered on inclusivity, creative expression, and community empowerment—is maintained as it grows .

Cheer Up Charlies’ story is not unique; LGBTQ+ bars and venues across the United States have struggled to stay afloat as shifting economic and cultural forces have reshaped urban landscapes. Researchers and activists alike highlight the crucial role these spaces play in fostering belonging, safety, and cultural production within the LGBTQ+ community .

Investment firms like Pride Holdings are emerging as key players in the preservation of these spaces. By providing financial backing, business acumen, and marketing support, such firms aim to stabilize and expand venues that might otherwise close. As Mike Barrett of Pride Holdings explains, “We see these acquisitions as a way to ensure that LGBTQ+ spaces are not only preserved but are positioned for growth and greater impact in their communities” .

The community response to the sale has been overwhelmingly positive, with many expressing relief that Cheer Up Charlies will remain a beacon for Austin’s LGBTQ+ residents and allies. The venue’s commitment to local artists, queer performers, and grassroots organizing is expected to continue under the new ownership, with Lea and Hoover still actively involved in day-to-day operations.

As the venue prepares for its next chapter, the story of Cheer Up Charlies underscores the importance of supporting and investing in LGBTQ+ spaces—not just for their economic value, but for their role in sustaining queer culture, visibility, and resilience. The transition serves as a model for how business partnerships can honor legacy while expanding opportunity for future generations .