Very sad day but oh so inevitable. Runway length pretty much dictated everything, critically limiting. The airport was run on a shoestring, bare minimum staffing, a lean machine but very efficient with it. Very good people there.
Without any significant property portfolio underwriting the airfield side of things, it would never make a penny. You don't make money out of passengers at a place like that, ideed you don't make money out of aeroplanes directly. You need a bunch of warehouses and office blocks from which the revenue underpins everything else.
Even then, the value of the land for industrial or commercial development way outweighs it's use as a very restricted airport - in that particular case.
Is it Dunkeswell that may benefit a little from any GA migration?