Deptford's Albany has been given nearly £1m in funding to help upgrade its theatre.
The Albany has been recognised as part of Arts Council England's National Portfolio and will receive £528,045 over the next three years.
And the arts centre will also get £437,175 towards the refurbishment of its main house theatre space.
In the past year, the Deptford venue has put on 163 professional productions and seen audiences rise by 20 per cent
Chief executive Gavin Barlow said: "We are delighted that, at a time of huge pressure on arts and culture funding, the Albany has been recognised by Arts Council England as part of the National Portfolio.
"The Albany is a model for the arts centre of tomorrow - a social enterprise with community at its heart, delivering transformational artistic experiences for all.
"This award will allow us to continue offering creative spaces and experiences that speak to, and reflect, the lives of the diverse communities of south east London."