Waterstones is looking for a new site in Camden Town after being unable to agree a new lease with its landlord.
In the meantime staff from the book shop in Camden High Street have been redeployed to other stores.
The store unexpectedly closed for a day in January after what the book chain dubbed "an unprecedented action in our experience".
They were locked out of the building during lease negotiations with landlord Concise Property Management which is also based in Camden.
Trading resumed when the store re-opened the next day, but it has now closed for good.
A spokesperson for Waterstones said: "We have been unable to agree a new lease for our Camden bookshop and have therefore closed.
"This is greatly regretted. We are actively looking for a new site in Camden and hope to reopen soon. All booksellers will be redeployed in the meantime."
Lawyers for Concise Property Management, Memery Crystal LLP, declined to comment.
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