"Thalia Theatre, 46-48 Bowery. Formerly Bowery Theatre. Photograph taken around 1881."

Built originally in 1826, as the New York Theatre, the playhouse was established as direct competition to the Park Theatre on Park Row and Ann Street. The wealthy and fashionable citizens who had recently moved to the newly developing neighborhood on nearby Lafayette Street wanted access to high-class European theatre.

The building itself was constructed on land that had once been occupied by the Bull's Head Tavern, one of George Washington's headquarters during the Revolution. After only two years in business, the theatre suffered a major fire in 1828, and the interior was rebuilt behind the surviving facade and renamed the Bowery Theatre. Though it would have a series of other names (American Theatre, Thalia Theatre , Fay's Bowery Theatre) it was from 1828 on generally referred to as the Bowery Theatre.

The theatre's most successful period was from the 1830s to the 1850s, when it made a name for itself as a American nativist and populist hub (unsurprisingly it was during this period that it was renamed American Theatre). The building survived through the constantly changing neighborhood and populations of the mid to late 19th century and early 20th century. After a series of 19th century fires and rebuilding efforts, the theatre was finally destroyed by a fire in 1929.