The smaller club serves 40 to 100 low income youth in the area.
A 75 thousand dollar budget shortfall is forcing the closure.
Lisa Maxwell, Executive Director of the Boys and Girls Club says the kids are welcome to attend the downtown Bend club, but many of these kids can't afford it.
Nearly all the kids who attend the Ariel club are on scholarship and the parents can't afford the additional transportation costs.
The Ariel Club opened in 2005 and was a partnership between Housing Works and the Boys and Girls Club.
The three staff at the club will be laid off at the end of the month when the club closes its doors.