Well, whether it's a good or a bad thing, the trend has happened in New Mexico (at least the Albuquerque/Santa Fe part of the state).
Recently all (maybe 5-7 ?) the gay bars but one in Albuquerque, the largest city in NM, closed. The remaining one ("Sidewinder" - used to be called "The Ranch") is a mix, or was the one time I visited there, of gay college-age men (U of NM is in Albuqueerque as some pronounce it), wannabee cowboys, bears, and some just "ordinary" guys meeting in a place they feel comfortable in. There was a great DJ on duty at the time, too.
The Pride Gym in Albuquerque, which turned almost into a bath house-type facility on Friday and Saturday nights, has closed or been closed down.
Santa Fe has a large gay (and especially lesbian) population compared to the total population. But I think as a generalization, I can say a large number if not mostt of the guys here are already partnered. Sure, there are the singles and partners playing around on craig's list, the personals sites, etc. - but really I think because so many men here are already in relationships/partnerships, and everyone in Santa Fe sort of mixes it up together anyway, there are NO bars, clubs, restaurants, gyms etc. that are exclusively gay. Everything here is purportedly "gay friendly" or "gay owned" but does not have an exclusively gay clientele. There were a couple of clubs here a few years ago, I'm told (I moved here in 2004), both of which have closed down and one reopened as a generic dance club/multi-level bars establishment with a restaurant -- all pretty conservative, if I can use that term. There is a very nice gym with good equipment, a good clientele, and a very "active" sauna and steam room -- and the people at the gym are of all persuasions, but especially gay .
So -- I agree I like diversity and mixing in comfortably, etc. etc. Maybe it's true the younger generations are less likely to frequent a one-flavor place; I don't know. Also I do know and agree that at least in a place like Santa Fe -- there's no public gay "action" going on any more in the sense of entertainment, social gathering/watering places, a place where you feel you know to whom you're talking and don't risk mis-steps in those situations. The situation seems like a time-warp in which gay men and lesbians are generally not seen or really a part of the social weave in some ways. On the other hand, Santa Fe and even parts of Albuquerque being casual, artsy, open-minded, spiritual, full of zen overtones, etc. people of all walks mingle and probably are identified as who and what they are, but I don't hear of any real frictions and problems or gay bashing going on here...so maybe the shifting and evolution of society is happening here, too.
Maybe the large Hispanic population and history and the Catholic Church's presence over time here have also influenced how things have turned out in NM.
I had just wished I had been able to find the gay friends I wanted more easily when I first moved here. I'm fine now.