diff --git a/rhodecode/apps/repository/views/repo_permissions.py b/rhodecode/apps/repository/views/repo_permissions.py
--- a/rhodecode/apps/repository/views/repo_permissions.py
+++ b/rhodecode/apps/repository/views/repo_permissions.py
@@ -28,6 +28,7 @@ from rhodecode.lib import helpers as h
 from rhodecode.lib import audit_logger
 from rhodecode.lib.auth import (
     LoginRequired, HasRepoPermissionAnyDecorator, CSRFRequired)
+from rhodecode.lib.utils2 import str2bool
 from rhodecode.model.db import User
 from rhodecode.model.forms import RepoPermsForm
 from rhodecode.model.meta import Session
@@ -110,9 +111,11 @@ class RepoSettingsPermissionsView(RepoAp
         _ = self.request.translate
         self.load_default_context()
 
+        private_flag = str2bool(self.request.POST.get('private'))
+
         try:
             RepoModel().update(
-                self.db_repo, **{'repo_private': True, 'repo_name': self.db_repo_name})
+                self.db_repo, **{'repo_private': private_flag, 'repo_name': self.db_repo_name})
             Session().commit()
 
             h.flash(_('Repository `{}` private mode set successfully').format(self.db_repo_name),
@@ -128,5 +131,5 @@ class RepoSettingsPermissionsView(RepoAp
 
         return {
             'redirect_url': h.route_path('edit_repo_perms', repo_name=self.db_repo_name),
-            'private': True
+            'private': private_flag
         }
diff --git a/rhodecode/templates/admin/repos/repo_edit_permissions.mako b/rhodecode/templates/admin/repos/repo_edit_permissions.mako
--- a/rhodecode/templates/admin/repos/repo_edit_permissions.mako
+++ b/rhodecode/templates/admin/repos/repo_edit_permissions.mako
@@ -58,7 +58,11 @@
                         <td class="private_repo_msg">
                             ${base.gravatar(h.DEFAULT_USER_EMAIL, 16)}
                             ${h.DEFAULT_USER} - ${_('only users/user groups explicitly added here will have access')}</td>
-                        <td></td>
+                        <td class="td-action">
+                            <span class="tooltip btn btn-link btn-default" onclick="setPrivateRepo(false); return false" title="${_('Private repositories are only visible to people explicitly added as collaborators. Default permissions wont apply')}">
+                            ${_('un-set private mode')}
+                            </span>
+                        </td>
                         <td class="quick_repo_menu">
                             % if c.rhodecode_user.is_admin:
                                 <i class="icon-more"></i>
@@ -106,7 +110,7 @@
                             ${_('Remove')}
                             </span>
                           %elif _user.username == h.DEFAULT_USER:
-                            <span class="tooltip btn btn-link btn-default" onclick="enablePrivateRepo(); return false" title="${_('Private repositories are only visible to people explicitly added as collaborators.')}">
+                            <span class="tooltip btn btn-link btn-default" onclick="setPrivateRepo(true); return false" title="${_('Private repositories are only visible to people explicitly added as collaborators. Default permissions wont apply')}">
                             ${_('set private mode')}
                             </span>
                           %endif
@@ -204,9 +208,10 @@
     });
     quick_repo_menu();
 
-    var enablePrivateRepo = function () {
+    var setPrivateRepo = function (private) {
         var postData = {
-            'csrf_token': CSRF_TOKEN
+            'csrf_token': CSRF_TOKEN,
+            'private': private
         };
 
         var success = function(o) {