The National Museum of Costume based at Shambellie House, near Dumfries, will not re-open for business in the spring.
The closure of the museum comes as a result of the economic recession and falling visitor numbers.
The museum attracted around 10,000 visitors per year, and 5,000 to the shop, cafe and grounds.
The house was opened as a museum in 1982, and is owned by the Scottish Government.
More top news
Paul Brand & guests - including Lib Dem leadership favourite Tim Farron & the SNP's new Border MP Calum Kerr. Watch the full programme here:
A look ahead at the forecast for the Border region.
Preparations have begun for a two day mountain biking event, the Enduro World Series, in the Tweed Valley this weekend.