“This is the logical next step - a bigger premises that is closer to where the people are.”
Oesterle said Papaiti Gin and Good Bones, operated by Vaughan and Emma Campbell, had a similar ideology.
“We care about what kind of stories our spirits tell - where they come from, how we make them.
“We can also add an on-licence premises and add to the whole vibe of Drews Ave.”
Previously, part of Te Whare o Rehua Serjeant Gallery’s collection was stored in the space.
The gallery reopened last November and the collection moved back there.
Papaiti Gin co-founder Adrian Rumney said Drews Ave was a natural fit for both businesses.
“It’s a very creative centre in Whanganui.
“We sit within that from a hospitality perspective, whether it’s the spirits we come up with or the cocktails we are going to come up with in the new bar space.
“There are already collaborations with the neighbours, like NZ Glassworks. We sell their handmade glasses in our shop, and hopefully that continues.”
Vaughan Campbell launched Good Bones in 2022, after winning the Dragon’s Den-style competition Innovate Whanganui the year before.
He uses surplus baked goods, destined for landfill, to make premium craft vodka.
“We’ve saved around half a tonne so far, and 5000 litres of beer and cider,” Campbell said.
Good Bones operates in Lads Brewing at the bottom of Durie Hill.
Campbell said he was on his 12th batch, and having the new space would mean “everything is on display”, including distilling equipment.
“We’re definitely keen on doing a whiskey, and we’re definitely keen on doing some rums,” he said.
“Having this place means we can do a lot more trials over the bar.
“We can start venturing out a bit more.”
Oesterle said operating a bar would strengthen both brands and their financial sustainability.
Papaiti Gin won the Ultimate Visitor prize at last year’s Whanganui Regional Business Awards.
“That’s because we learned that offering an experience, in addition to just selling spirits, really helps.
“We will continue to do gin crafting classes but now we can offer proper distillery tours, as well as have a bar.
“Hopefully, that sets us up for success.”
Rumney said opening a bar meant there had to be food options, which is “not our area of expertise”.
But that gave the chance for more collaboration, he said.
“There are lots of people supporting us with that, like food truck vendors giving us ideas around easy-to-prepare, high-quality meals.
“We’re not adding another burger joint to the restaurant market. It will be things like platters, tapas and pizza - filling gaps in the eating scene.”
Oesterle said there was no set opening date but The Distillery would be running by the end of summer.
“We’ve already had so much support from the community. When you walk through town, people want to talk about it.
“This [part of the city] is becoming more and more of a hub.
“You’ve got Porridge Watson, Teal Lounge, Angry Fox, The Burrow [Cellars] and the Rutland Arms with its beautiful patio. That’s what we want to contribute to.”
Mike Tweed is a multimedia journalist at the Whanganui Chronicle. Since starting in March 2020, he has dabbled in everything from sport to music. At present his focus is local government, primarily Whanganui District Council.