The theatre was opened in 1827 on the site of a former factory.
The first Pavilion Theatre was destroyed by fire on 13 February 1856. It was rebuilt in 1858 as the New Royal Pavilion Theatre, with a capacity of 3500.
It was reconstructed in 1871 by the architect J. T. Robinson, and the capacity increased to 4000.
In the early 20th century it became the home of Yiddish theatre, catering to the large Jewish population of the area, and gave birth to the Anglo-Jewish ’Whitechapel Boys’ avant-garde literary and artistic movement.
In later years, it operated under the names, Royal Clarence Theatre, Eastern Opera House, and New Royal Pavilion Theatre, continuing in business until 1935. The building was demolished in 1962.