La Mama Theatre was established in 1967 to nurture new Australian theatre and has played an important role in the development of the Australian dramatic voice. It has been committed to a diversity of artistic approach, to innovation and to exploring minority as well as general concerns.

La Mama operated two venues: La Mama Theatre and La Mama Courthouse. In May 2018, the iconic La Mama Theatre was badly damaged by fire. Performances subsequently ran in the Courthouse, while funding was sought to replace the building. In October 2019, La Mama announced that Creative Victoria (a state government funding body), Gandel Philanthropy, John T. Reid Charitable Trusts, Lord Mayor's Charitable Foundation, Sidney Myer Fund, and anonymous donors had provided sufficient funding to rebuild the theatre.