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In 1975, the bar changed its name to The Encore, but then fell into foreclosure and was purchased by Henry Vara, a fourth generation bar owner from Boston. He later changed its name to Backstreet, as part of a chain of nightclubs across the U.S. in cities like Detroit, Memphis and San Francisco.
The Vara family owned multiple gay bars in Atlanta including The Armory, home to the Armorettes camp-drag troupe; LaVita's, known for its cheap drinks and drag shows; Weekends Warehouse, with mixed clientele; and Options, a lesbian bar. The family also opened a Backstreet in Fort Lauderdale. Backstreet Atlanta was marked by a large round sign with a black cat. Later, when Charlie Brown's Cabaret became the headlining act upstairs, the sign facing Juniper Street bore Charlie Brown's face.
Backstreet was originally an exclusive, white, all-male club. It operated as a “private club,” defined by the State of Georgia as an organization with a minimum of 250 dues-paying members. As patrons entered, they were required to pay a fee (their “dues”) and given a "membership card." This allowed the bar to be “open and pouring” 24-hours a day for almost 30 years.
The club soon became a place everyone—gay and straight—could go for the best nightlife in the city and was known as one of the country's only 24-hour gay bars. City ordinances required other bars to close by 3:00 AM, so straight party-goers came to Backstreet in the early hours of the morning after other bars had closed, where they could continue drinking and dancing until the sun came up.
In the late 1990s and early 2000s, Midtown Atlanta became more gentrified as families began moving to the area. Backstreet and its patrons soon became known as a noisy nuisance. In 2003, after a long legal battle with the Atlanta City Council, who cited several law violations, Backstreet and all 24-hour clubs were forced to close for several hours per day.
At 2:45 AM on January 1, 2004 Backstreet closed for the first time ever. It also had to continue closing early every night due to new ordinances. This change in business caused the establishment to lose both revenue and customers. At the time of the ruling, the club employed over 100 people, many of them full-time. Backstreet had its final turn on the dance floor when the Vara's daughter, Vicki Vara, had to shut its doors forever due to the loss in business and demands from city leaders in the summer of 2005.
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