Bellingen's twin-toqued No 2 Oak Street will close on December 21 after the award-winning restaurant failed to sell at auction.
Owner Ray Urquhart says his family have operated the restaurant since the death of his wife and business partner, Toni, in May.
''My kids have been running the show, but they are moving on to other things. It didn't sell at auction, but remains on the market,'' Ray Urquhart says.
No 2 Oak Street retained its prestigious two-hat rating in The Sydney Morning Herald Good Food Guide this year, with son Michael Urquhart as chef. Rumours link Michael to a move to Flooded Gums at the Bonville Gold Resort.