Owner John Horton and his wife Kathleen have decided to retire and the premises have already been sold to a new business.
The couple's online business Toys Express has also been sold to local firm Castlegate Stationery which has plans to open a toy shop in the town later in the year.
"The website side of the business has grown and grown since we started it six years ago," said John Horton.
"We've got customers from Australia, Iceland and all over Europe so it made sense to sell that side of the business on to Castlegate separately."
"We've decided it's our time to step down," he explained. "I am 70 and we feel ready to have a rest although Kathleen and I have enjoyed every single minute of it.
"We've had some really loyal customers who've been coming to us for years and years and whose parents even brought them so we've served literally generations of families.
"We've also had some amazing staff who have worked for us for decades and we can't thank them enough either for their dedication."
The business was started by Jack Horton, John's father, and Arthur Hollander in 1948 as a cycling and radio shop.
Pic: Wetherby News