Sex, lifestyle club closing after neighbourhood policy blocks proposed bar By: Chris Kitching Posted: 6:56 PM CDT Wednesday, May. 6, 2026 Last Modified: 10:30 AM CDT Thursday, May. 7, 2026 Updates

A downtown-area sex and lifestyle club that opened as a bathhouse 27 years ago is set to close, with the current owner citing high costs and a stymied bid to add a bar.

The X Club, originally Aquarius Bath House under previous ownership, will shut its doors May 24 in a move that will appear to leave just one bathhouse remaining in Winnipeg.

“With the cost of running it and not being able to have that liquor revenue, it’s not financially feasible to continue,” said X Club owner Jake, who requested to be identified using only his first name.

The club is located at 457 Notre Dame Ave. in the Centennial neighbourhood, where a city-approved plan does not allow new “steam baths” or beverage rooms, or expansions of existing ones.

Jake, who lives in the Toronto area, decried Winnipeg’s business tax, which is calculated by applying a tax levy rate against an annual rental value, as being unfair toward independent businesses.

“The lack of support for small businesses, I’ve learned, in Winnipeg is very challenging,” said Jake, whose property was not eligible for a tax credit because its assessed value exceeded the city’s threshold.

Jake said the club’s two-storey building and parking lot were sold to a neighbouring grocery store that plans to expand its footprint.

He said 14 staff members, including one who’s been employed for 20 years, will be laid off.

Aquarius operated for 24 years before Jake purchased the business almost three years ago and rebranded as X Club to mirror a club that he owns in Mississauga, Ont.

“Things have really opened up over the years and become more mainstream.”

Aquarius initially opened as a bathhouse for men before welcoming others.

“It started when it was more behind the curtain and frowned upon, and when the queer community wasn’t as accepted,” Jake said. “Things have really opened up over the years and become more mainstream.”

Aquarius had a checkered history. Two men died in a 2009 fire, which police said was arson. Six years later, a man was found not guilty of two counts of manslaughter. A 2017 stabbing also made headlines.

Jake’s suburban Toronto club is permitted to serve alcohol. He wanted to do the same after purchasing and rebranding Aquarius, envisioning a main-floor bar where customers could mingle in a “non-sexual” environment, or attend events or workshops about safe sex, BDSM or other topics.

The city confirmed it received a development permit application in December. About four weeks later, Jake was informed a conditional use application was required, but it could not be approved due to policy direction in the West Alexander-Centennial neighbourhood’s secondary plan.

Implemented in 2008, the plan prohibits new or expanded steam baths and beverage rooms. At the time, residents believed the establishments had a negative impact on the character and safety of their community, the planning document said.

“We did advise the applicant on avenues for appeal. The applicant then withdrew their applications,” city spokeswoman Deborah Bowes wrote in an email Wednesday.

Jake, who was disappointed, said he decided not to appeal because it is a costly process, and he didn’t think it was worth it. He also decided against relocating the club.

Jake said he plans to send a letter to Mayor Scott Gillingham to outline his complaints about the business tax and the application process.

Colin Fast, a spokesman for the mayor, said more than half of businesses pay no business tax at all, and the tax rate has been cut in half in the past 20 years.

“Winnipeg has worked hard to keep taxes competitive for small businesses,” he wrote in an email. “We’re open to looking at further changes to the business tax, including phasing it out over time, but that would require changes to provincial legislation.”

Liquor, Gaming and Cannabis Authority of Manitoba spokeswoman Lisa Hansen said an application for an age-restricted liquor service licence for the bathhouse completed a public notice period in September 2024.

She said the process requires an applicant to continue their application within a year of a public notice, or to complete a new notice period if more than one year has passed. A licence has not been issued.

“The misconception is you walk right in and it’s sex everywhere.”

Jake spent money on renovations and upgrades, an architect and consultants after taking over the business. He said he “cleaned up” the club, added or improved security measures, and banned “nefarious” customers to make it more safe and welcoming.

Before it was taken offline, X Club’s website described it as a “new age bathhouse” and “a haven for open-minded or curious people who want to explore pleasure in an exciting, inclusive, and safe environment.”

The club has play and theme rooms, a “kink dungeon” in the basement, and a sauna. It holds events for “every gender and sexual interest,” the website said. Lockers and rooms are available for rent at varying fees.

“The misconception is you walk right in and it’s sex everywhere. It’s more community-focused for people who are in different, alternative lifestyles,” Jake said.

“It’s a safe space for people to come to meet other people, to connect with and, yes, if they do want to take things further sexually, there are private rooms.”

There is no grey area with respect to the legality of the club or a bathhouse, Jake said. He pointed to a 2005 Supreme Court of Canada ruling that found group sex and swinging conducted privately by consenting adults do not constitute obscene or indecent behaviour, and such clubs are not common bawdy houses.

Bathhouses are not among the enterprises that require a business licence in Winnipeg.

It appears X Club’s impending closure will leave Adonis Men’s Spa as Winnipeg’s only remaining bathhouse. Adonis opened on Main Street in 1972. It is regarded as Canada’s longest-running bathhouse in the same location.

A post on X Club’s social media accounts said events will continue to be held at various locations in the city by different entrepreneurs.

“This is not just the closing of a venue — it’s the closing of a chapter filled with unforgettable memories, and the beginning of something new,” the post said.

chris.kitching@freepress.mb.ca