Two men were taken to hospital, one with life-threatening injuries and the other with serious injuries.
A third man later self-presented at hospital with an arm injury.
Venue owner Peter Iwaniuk said the “iconic venue” had been entertaining patrons for decades.
He likened the venue to the ”Moulin Rouge in Paris”.
“The Men’s Gallery has been open for 30 years entertaining thousands of people every week without an incident like this ever,” Iwaniuk said in a statement.
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“Seems to be a lot of violence in Melbourne right now. I am sure the police will catch them quickly.”
There is a crime scene set up at the Men’s Gallery, with the venue taped off as a crime scene.
Police said searching for two offenders who they believe fled the scene.
The intersection of Lonsdale and King Street remain closed while police investigate.