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Fire ripped through the Black Door Bar and Eatery in Roberts St in the early hours of August 26.
Now it has been determined the building is too damaged to repair.
“We have been given the devastating news that Black Door is to be completely demolished,” the business said on Facebook.
“Hearts are breaking as we lose this beautiful venue in our wonderful wee town. So much love and hard work has gone into this place over the years and more recently this year by us, the new owners.
The business does not own the building.
“Unfortunately what happens to 6 Robert St and when, is now out of our control.”
In September, the fire was deemed to be caused by a plate warmer.
The plate warmer, which had been in place for a number of years, had dried out the timber around it, making it more likely to catch fire.
Fire investigators said either the plate warmer had an electrical failure causing the dry timbers around it to ignite or the timbers self-ignited from residual heat.
Despite the loss of the business, the team has not given up.
“We have not given up our dream of giving Lincoln the best food, cocktails and service so will be keeping all our options open. Hoping to find a way back to you all in the near future!
“Thank you again for all the support we have received from you all since the fire, it really has been amazing.”