Margaritas has closed its doors in Liberty Hill.
Time Out Sports Bar has announced it will also cease operations at its current location, with its final day of business set for Sunday, Jan. 4, 2026. Notices posted at the bar invite the community to attend a “last day of business” event that day, with all bartenders scheduled to be on site from 3 p.m. until close.
According to the notice, customers who have funds remaining on the bar’s sweepstakes machines will be given a two-week window to cash out. Management stated that specific times for cash-out availability will be posted.
Time Out Sports Bar also indicated plans to relocate and said information about its new location will be shared on the business’s Facebook page.
The building housing both Margaritas and Time Out Sports Bar has been sold to a new owner. As of publication, the identity of the buyer and any future plans for the property have not been publicly disclosed.
However, according to filings with the Texas Department of Licensing and Regulation, a new Denny’s restaurant will occupy one of two lease spaces attached to a new convenience store development called Q-Mart, which is set to be located at 10280 W. Hwy. 29–is the same address as Margaritas.
Plans for the Q-Mart include an 11,766-square-foot main building, two fuel canopies, and a second lease space that remains open for a future tenant. The privately funded project carries an estimated construction cost of $3 million. Work is expected to begin in March 2026, with completion anticipated by February 2027.
A commercial demolition permit for Margaritas’ playground, covered wood deck and canopies was approved in December 2025 to occur Jan. 5.
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