Berlin’s iconic SchwuZ nightclub files for bankruptcy amid rising costs

Saturday 02 August 2025 - 16:30

SchwuZ, known as Germany’s oldest and largest gay nightclub, has filed for bankruptcy after nearly 50 years of operation. The beloved Berlin institution, founded in 1977 in Kreuzberg, played a vital role in shaping the city’s LGBTQ+ culture and nightlife.

Now based in Neukölln since 2013, the club faced mounting financial difficulties due to inflation, rising rent, and changing nightlife habits. Monthly deficits of €30,000 to €60,000 have pushed the venue into insolvency, despite attempts to reduce costs and raise funds through layoffs and crowdfunding.

SchwuZ management announced the bankruptcy on social media, stating: “We don’t want to give up!” and recalling the club’s history as a community hub, a safe space, and a platform for queer art and activism. The club famously helped launch Berlin’s Christopher Street Day parade and the LGBTQ+ magazine Siegessäule.

The economic downturn, ageing clientele, and a shifting cultural landscape—where dating apps and outdoor events have grown in popularity—have compounded the financial strain. Electricity and rent hikes are contributing to a broader trend known as Clubsterben (the death of clubs), threatening many of Berlin’s legendary venues.

Earlier this year, SchwuZ laid off a third of its staff and scaled back drag shows. A crowdfunding campaign raised just €3,000 out of a €150,000 goal. Nevertheless, the club hopes to stay open until October, when court proceedings are expected to begin.

Other iconic venues have recently shut down, including Busche Club, a staple since East Berlin times, and the well-known Watergate club. Wilde Renate is also set to close by year-end. Planned urban developments, such as the extension of the A100 motorway, are putting additional pressure on Berlin's cultural infrastructure.

Berlin’s Club Commission continues to push for governmental support, warning that clubs are not only cultural spaces but also key economic drivers for the city.