Sky Zone Miranda will close on November 10 in a move that will disappoint thousands of Sutherland Shire families.
Since opening in April, 2016, the $13.5 million trampoline park has had more than half a million jumpers and hosted over 3000 children's parties.
Funlab, the company that operates Sky Zone, did not give a reason in a statement released on Monday, saying the decision was "due to external circumstances out of our team's control".
A spokeswoman denied the claim of a disappointed patron, who told the Leader "Westfield has raised the rent so high that the business can no longer continue to offer a place for local children to exercise and have fun".
The spokeswoman replied, "We don't want to make a comment. It's honestly not to do with any increase - it's just a decision we have made".
A spokeswoman for Scentre Group, which operates Westfield, said, "We are working together with Funlab to explore options for a new concept in Westfield Miranda".
"Scentre Group and Funlab have an established and ongoing relationship with three Funlab sites across our Westfield portfolio in Australia and New Zealand, including Strike Bowling, Holey Moley Golf and Archie Brothers Cirque Electriq," she said.
"We look forward to continuing to work with Funlab as a key retail partner in the entertainment sector as they grow their existing brands, along with new ones across their network."
Funlab's group operations director Blaise Witnish said, "Due to external circumstances out of our team's control we have needed to make the difficult decision to close our doors - but we are still dedicated to offering entertainment spaces in Miranda and investing in future opportunities - so watch this space".
Chief executive Michael Schrieber said, "Since our doors opened in Miranda we have welcomed over half a million jumpers, and hosted over 3000 kids parties during this time.
"Add to this our famous corporate dodgeball challenges and fitness classes, we are proud to have been able to create many memorable and fun moments for Sutherland Shire residents.
"On behalf of the Sky Zone Miranda team we would like to thank you for all your support over the last four years".
Sky Zone Alexandria will continue to trade as normal.