OTC Bar & Grille, formerly known as Olde Towne Cafe, has announced that it will close its longtime Olde Towne Gaithersburg location on November 15, 2026, after 26 years of serving the community. However, the family-owned restaurant has secured a new location in Bethesda and plans to reopen in late spring or early summer 2027.
In an announcement shared Thursday, the restaurant’s owners said a change in ownership of the property means they are unable to continue operating at 226 E. Diamond Avenue.
“We’re sad to leave the place that has been our home for so long. Because of a change in ownership, we’re unable to continue our business here. But our story isn’t over,” the family wrote.
The restaurant confirmed that it has signed a lease for a new location in Bethesda, although an exact address has not yet been announced. The family is targeting a reopening in late spring or early summer 2027.
OTC Bar & Grille reopened in 2022 in an expanded space combining the former Olde Towne Cafe and neighboring Diamond Drugs storefront. Prior to becoming OTC, the restaurant was also known as Diamond Fountain Cafe. The same family has operated the restaurant since 2000.
The property has a long history dating back to 1893, when Dr. Elisha C. Etchison purchased the northwest corner of Diamond and Summit Avenues from John B. Diamond and opened a drugstore. Although ownership changed several times over the decades, the location maintained a long history as a neighborhood pharmacy.
The announcement follows earlier uncertainty surrounding the restaurant’s future after the family learned the building was under contract to be sold. The owners previously launched a GoFundMe campaign to help cover potential relocation costs or changes to their lease.
The family also plans to host a soft opening for longtime customers at the new Bethesda location and is encouraging regulars to contact the restaurant before its Gaithersburg closure to receive an invitation.
“Thank you for being part of our family and supporting our restaurant through the years,” the owners wrote.
