A popular downtown Winnipeg bar has decided to close its doors after 31 years.

Gio's Club and Bar on Smith Street has been a long-time hangout for the gay and lesbian community in the city.

Barry Karlenzig, the general manager of the not-for-profit club, told CBC News the space is too big and he can no longer afford to keep it open, especially with the greater number of bars to compete with.

"Because it's more socially acceptable to be out with your partner we don't need a location this big," said Karlenzig. "Yes we're still needed in the community, but not this big a venue."

Karlenzig says he is hoping to eventually reopen the bar in a smaller venue in the exchange or downtown area.

Gio's last day of business will be Feb. 16.