I was straight and still am, but saw this film about 10 years after it came out when I was in college. I had already accepted one of my brothers who was out, and never really not accept him. But I didn't take this film as a "normal" gay culture. It was a specific underground leather scene in New York city, a place on the other side of the state and an epicenter of various scenes. I admit the "fisting" scene ended by innocence on life. But the kink added to the fascination and the way it disturbed the main character, a cop undercover who had to deal with the scene while not "liking" it and was still straight. He was a stand in for what a straight man would encounter undercover in order to do his job, and I though Pacino did a great job. The gay neighbor next store was a contrast and a "normal" gay man I thought, added to show NYC leather scene was not the norm. But that was life back then in a couple places, and sex bars did help to spread AIDs, though they still exist today along with regular brothels for straights. I give credit to the film maker for the daring in exploring this scene and Pacino for 'risking' his career on what today would be dealbreaker.
Thanks for your recollection and insights.