PIZZA Hut is closing its restaurant in the centre of Cheltenham.
The chain has now confirmed the Promenade site will close – although would not confirm an exact date.
Japanese restaurant chain Yo! Sushi has been rumoured to be taking over the spot.
It is currently advertising for a general manager, assistant manager, head chef, and sous chef in Cheltenham.
The town will be left with only a takeaway and delivery Pizza Hut in the High Street, with the next closest restaurant in Eastern Avenue Retail Park in Gloucester.
Jimmy Karasan, who owns Le Paris cafe, opposite Pizza Hut, said he was surprised at the news.
He added: "I'd heard that it might close.
"Business has been quite quiet in the street, but we have some regulars who keep us going, which is great for us.
"I'm really surprised at the news.
"Pizza Hut has always been quite popular.
"From here, we can always see people inside Pizza Hut, but it is not incredibly busy."
A Pizza Hut spokesman confirmed it was closing.
She said: "We are still in the very early stages of discussion regarding the future plans for our Cheltenham restaurant."
But she could not reveal the number of job losses, or confirm the date of the restaurant's closure.
Town centre manager Martin Quantock said it was a prime location and was surprised at the closure.
He added: "It is a great location, more so after Boots Corner is completed.
"I would like to hope that it will be filled as quickly as possible.
"It is the perfect place for any restaurant, and if we get Yo! Sushi to replace it, that would be great.
"It is right at the junction between the High Street and the Promenade, so it is the best of both worlds.
"What is worrying is the people who might be made redundant.
"I am not sure if they will be or if the jobs might be transferred elsewhere."
Yo! Sushi has declined to comment on any plans to open a restaurant in Cheltenham.