The South Street watering hole has been closed in recent days with signs on doors notifying customers the pub has been shut temporarily to undergo renovations.

One of Wodonga's oldest hotels is owned by Wagga businessman Greg Evans, but has been leased by Mr and Mrs Montgomery since 2013.

“We've decided to move on,” Mr Montgomery said.

“We were a bit behind in the rent and the business wasn't working as well as we had intended.

“It has been an ongoing negotiation between us and the owner for the past two weeks and we felt this was the best option.”

Mr Evans had been operating the pub since 2010 before Mr and Mrs Montgomery agreed to lease terms and re-badged the business as Monty's Bar and Grill.

The pub attracted headlines last month for its decision to hire scantily clad male and female bottle shop attendants.

The move upset Wodonga Council and the city's white ribbon ambassador, former mayor Cr Mark Byatt.

The council issued a lengthy statement critical of the Carrier Arms' move.

“We all have a social responsibility to stand up and to speak out against issues that are not helpful or constructive in the change we are trying to see in our city,” mayor Cr Annie Speedie said in the statement.

“Last year at the white ribbon ball the council called on local businesses and service clubs to take a pledge and take action in their own organisations to prevent violence against women and children.”

The Carrier Arms operators spoke out in early 2015 about the impact roadworks in Church Street was having on their business.

A compromise was reached on access to the pub as a result of the works with a temporary car park set up on Places Victoria land.

The Carrier Arms' temporary closure comes as another Wodonga pub O'Maille's is poised to re-open with new owners after being shut since 2014.