Durham Distillery shut down on February 12, 2026, in Ajax, Ontario, following a lease dispute with the local government. The town gave the business a 30-day notice to leave its space at the historic Pickering Village Fire Hall on January 5, 2026. Officials said the business, which was the only craft distillery in the region, was not following the rules set out in its rental agreement.
The Town of Ajax stated the business failed to create the full production facility that was promised when it moved in during 2021. Because the vision for a local production site did not happen, the town decided not to renew the lease. The distillery had been operating on a month-to-month basis for over a year before the move-out notice was issued.
Co-founder Chris Ferg said the closure will affect local jobs and the ability to support local charities. The distillery owners also claimed that the town has taken over their alcohol inventory. This situation creates a challenge for the business because federal rules for alcohol storage make it difficult to move the products to a new location.
The Ajax Council originally approved the distillery lease to help bring more people to the Pickering Village neighbourhood. Town officials said they have a responsibility to taxpayers to ensure that public buildings are being used properly. It is currently unknown what will happen next with the heritage fire hall building.
