In today’s wine property market, buyers hold the advantage. Rising costs, shifting consumer preferences, and increased competition have created a clear reality: it’s a buyers’ market for wineries.
That’s why, for owners considering succession or an exit, the most effective strategy often isn’t selling the entire package—land, facilities, and brand. Instead, the smartest path forward is to separate the wine business from the real estate.
This isn’t just theory. VPRE has proven, time and time again, that separating the wine business from the real estate is often the smartest path forward. It’s a model we’ve been advising clients on for decades at Vineyard Professional Real Estate, and the recent WarRoom–Iris Vineyards transaction is a perfect case study.
The Iris Vineyards Example
Pamela Frye and Richard Boyles, longtime owners of Iris Vineyards in Oregon’s Willamette Valley, faced a crossroads. At 68, with other major business commitments, they were ready to streamline. Initially, the idea was to sell the full wine enterprise—brand, facilities, vineyards, and inventory.
But when they looked at “the current environment,” they realized that wasn’t the best path. Buyers were far more interested in the brand value than in the capital-heavy real estate.
So they pivoted.
- They kept their vineyards and estate as long-term assets.
- They sold the Iris brand and three core SKUs—pinot noir, pinot gris, and chardonnay—to WarRoom Cellars.
- They turned to advisors to sell the production facility separately.
As Richard Boyles put it: “In the current environment — it’s a buyers’ market for wine properties — separating brand from real estate represented our best path to an exit.”
Why WarRoom Bought the Brand
WarRoom Cellars is building a portfolio of iconic, distribution-driven labels. With Iris, they gained:
- Their first Oregon brand to complement a portfolio heavy on California (Bonny Doon, Lapis Luna, Parducci, Toad Hollow).
- Wines with proven demand and room for national growth.
- A scalable brand unencumbered by the costs and obligations of real estate ownership.
WarRoom’s strategy is clear: focus on a handful of SKUs, tighten pricing, leverage national distribution, and carefully grow without diluting brand identity.
The VPRE Perspective
At Vineyard Professional Real Estate, we’ve long advised that the wine business must be evaluated separately from the real estate. They are different asset classes with very different market dynamics.
The reality is this: while some brands—like Iris—have marketable value, most brands and wine businesses are not sellable and must ultimately be liquidated. That’s not necessarily a failure; it’s simply how the market functions. Real estate, on the other hand, is almost always the core of the transaction and where the most secure value resides.
By understanding this distinction, owners can set realistic expectations and build an exit strategy that maximizes what is sellable while making smart decisions about what to retain or wind down.
Final Thought
The WarRoom–Iris Vineyards deal isn’t an anomaly—it’s a clear reflection of the current market. If you’re an owner considering your next chapter, now is the time to think strategically about your assets.
The question isn’t just “Who will buy my winery?” It’s “How do I separate the wine business from the real estate—and what is each really worth?”
At VPRE, this is how we operate. We help owners clarify the value of each component, identify what can be sold, and guide the rest of the process—whether that means finding the right buyer, or making the tough but smart decision to liquidate.
Advisory Note from Jenny Heinzen, VPRE: If you’re evaluating your own options, let’s talk. This is exactly the kind of strategic guidance we provide—helping California vineyard and winery owners create smart, flexible exit paths that work in today’s market.
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