The Motley Crue rocker, 45, tells Rolling Stone that the two of them are making another go of it 10 years after their 1998 divorce.
"We've only given it a try 800 times – 801, here we go," Lee says. "Pamela and the kids have moved in with me. It's awesome. It's definitely working."
Friends of Lee's tell PEOPLE this time may be the charm. "They are two people who have been through a lot and know each other really well," says one.
The thrice-married, 40-year-old Anderson – whose five-month marriage to Rick Salomon was annulled in March (her other husband, of four months, was Kid Rock) – recently told Ellen DeGeneres on her TV show that she was not dating and, in fact, wasn't even sure of her type of man.
Now retracing past steps, friends say the couple "are happy," and so are their sons Dylan, 10, and Brandon, 12.
"You can tell on the kids' faces," Lee told Rolling Stone. "They're happy when we're together."
Reps for Lee and Anderson had no comment.
Reporting by SHAYNA ROSE ARNOLD