London's Atlantic Bar & Grill has shut after 11 years in business.
The Piccadilly restaurant and late-night bar, which was a popular haunt with celebrities during the 1990s, shut last Monday after bailiffs moved into the property.
A statement from the Regent Palace Hotel which sub-lets the space to Atlantic owner Oliver Peyton, confirmed the business had closed.
A spokesman said: "We can confirm that bailiffs, acting on behalf of legal advisers, have repossessed the premises on behalf of the Regent Palace Hotel."
Peyton declined to comment and would not confirm that the restaurant had shut.
Administrators are believed to have taken control of the business and are currently in negotiations with Peyton about the bar's future.
A source close to the hotel said that calling in the bailiffs had been a last resort and that it was a "very unhappy situation".
Crown Estate owns the building and lets the property to the Regent Palace, which sub-lets its basement to Peyton.