Durham Distillery Ajax has ceased operations after receiving a notice to vacate its production facility at 25 Mill Street from its landlord, the Town of Ajax.
The distillery said it was given 30 days’ notice in January to leave the premises. As a federally bonded facility operating under Canada Revenue Agency and excise regulations, Durham Distillery Ajax stated that relocating requires extensive regulatory approvals, specialized infrastructure, and controlled transfer of bonded inventory, making the timeline unworkable.
The Town of Ajax said the distillery’s three-year lease expired in December 2024 and that it allowed the business to continue on a month-to-month basis throughout 2025. According to the town, the tenant was informed the lease would not be extended. A formal legal notice was issued on January 5, 2026, as the town reassessed the facility’s future use.
Durham Distillery Ajax said discussions with the town did not result in a solution and added that the town has taken possession of its alcohol inventory, creating further regulatory challenges. The town stated the tenant may coordinate with staff to retrieve equipment and products.
The municipality said it has a financial and ethical responsibility to ensure town-owned facilities serve the best interests of Ajax taxpayers.
Founded in 2022, Durham Distillery Ajax said it aimed to create both a spirits brand and a community gathering space in Pickering Village. The company noted the closure impacts local jobs, hospitality partners, and charitable initiatives it supported.
Customers who purchased tickets for upcoming Cocktail Experience events will be contacted regarding refunds. The distillery says it is evaluating future options.
All statements reflect positions from both the business and the Town of Ajax.
