DD Sky Club in the 2100 block of Chenevert Street was hosting a rap showcase when gunfire erupted, but the 30-day suspension isn't related to the violence, authorities said.
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The action by the Texas Alcoholic Beverage Commission comes after agents accused the establishment of violating Gov. Greg Abbott's order that limits bar capacity during the COVID-19 pandemic.
RELATED: Multiple suspects behind shooting at rap showcase that killed 3, HPD says
In addition to the license suspension, TABC agents are also investigating the violence that happened on Tuesday.
Police said there was a fight on the second floor of the club, where at least two people pulled out guns and shot into the crowd.
The club was packed for a "mic check" show involving DJs, singers and producers.
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Police say 19-year-old Jailyn Bernard Page, 21-year-old Bryce Lee Goddard and 22-year-old Christopher Donshae Jackson all died at the scene.
The fourth victim, 17-year-old Sir John Mitchell, remains in the hospital in critical condition. He is expected to survive.
Police believe there were at least two shooters, but so far, no arrests have been made.
The suspects are being described as two Black males.
The TABC's action is the latest in a string of suspensions related to alleged violations of social distancing rules meant to slow the spread of COVID-19.
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RELATED: TABC suspends alcohol permits at 4 Houston-area bars for violating social distancing rules
According to its website, TABC has the authority to suspend any license that poses a threat to the public welfare.
The first infraction will result in up to a 30-day license suspension, and the second will result in up to a 60-day suspension.
The video above is from previous reporting.