Phil Castle, The Business Times

Richard and Jean Tally have long maintained a relationship with Stephen Smith, one that’s changed the wine industry in the Grand Valley.

Smith, an industry pioneer who at one time owned the largest wine grape-growing operation in Colorado, encouraged the Tallys to open a hotel in the midst of the vineyards around Palisade. 

In 2007, the Tallys purchased 7 acres from Smith to construct the 80-room Wine Country Inn. 

The relationship has now come full circle. 

The Tallys bought Grande River Vineyards from Smith and foresee opportunities for growth in the neighboring businesses separately and together.
“This makes us a much more viable wine destination,” Jean Tally says.

While they expect operational changes, the Tallys plan to continue to bottle the same varietals under the Grande River label.

“We are happy to be the new stewards of this important wine destination,” Richard Tally says. “Our goal is to provide top-quality wines along with an authentic wine experience for visitors to the Grand Valley. The iconic Grande River brand is important to the Colorado wine industry and deserves to continue growing and innovating.”

Jean agrees. “We want to honor Steve’s legacy and his importance to the industry and its development.”

Smith says he’s glad the Tallys will take over now that he’s retired. “After years of working with the Tallys on wine country endeavors, I am pleased to see them take over the winery and vineyards. I am confident they will do a great job carrying the brand and operation forward.”

The Tallys closed on a transaction valued at just over $3 million that includes the winery, equipment and vineyards as well as the Grande River brand and intellectual property. Because of regulatory restrictions, the sale didn’t include existing bulk and bottled wine produced by Grande River. Smith will lease back the cellar until he sells his existing stock.

“To be clear, Wine Country Inn will continue to pour Grande River wines from its own stock during this transition,” Richard says. “Wine Country Inn will not sell bottled wine at retail, nor will it be involved in the windup of Grande River’s current operation.”

The Tallys launched a limited liability company called Ten Acre Winery to do business as Grande River Vineyards. Jean says they’re pursuing local, state and federal liquor licenses and will begin operations after those licenses are issued — probably within 60 days.

Because of freezing temperatures that damaged vines in the Grand Valley in October, few grapes will be available for harvest this year, she says. 

She says she’s considering joining with other local wineries in purchasing grapes or grape juice from another wine-growing region — most likely Washington —  and have it shipped in for production.

With the purchase of Grande River Vineyards, the Tallys now own more than 30 acres of vineyards and hope to soon resume production using their own grapes. 

The Tallys will continue to work with Rainer Thoma, a winemaker and vineyard manager with experience in the Grand Valley as well as Europe. Jean says he’s familiar with the property and tended the vines. “It’s really a blessing,” she says. “He makes very good wine.”

In addition to wines bottled with the Grande River Vineyards label, the Tallys expect to also bottle wines with the Ten Acre Farm label poured at Wine Country Inn.

The Tallys are in the process of interviewing and hiring additional staff at Grande River Vineyard, including a business manager.

The Tallys bring to the venture nearly 30 years of experience in the hospitality industry in the Grand Valley. 

In addition to the Wine Country Inn, they operate the Quality Inn along Horizon Drive in Grand Junction. They also operate the Best Western Denver Southwest Hotel in Lakewood.

The Tallys’ children are partners in the family operation — Anne Tally at Wine Country Inn and Greg Tally at Best Western Denver Southwest.

In constructing the Wine Country Inn, the Tallys conducted research in wine-producing regions in Europe and California. They decided on a hotel combining modern functionality with Victorian farmhouse architecture.

The purchase of Grande River Vineyards will create a kind of symbiotic relationship, Jean says, in offering guests both a winery and accommodations. “There’s a tie between them.”

That’s similar to operations in California, she says.

She also foresees opportunities to promote both operations — offering hotel guests discounts for purchases at the winery and winery customers discounts on lodging.

At the same time, though, Wine Country Inn will continue to serve as what Jean describes as an ambassador to the Colorado wine industry and other Grand Valley wineries. “That won’t change.”

Richard says other growers and wineries have long supported and encouraged their efforts at the Wine Country Inn. 

“This is a great community,” he says. “Farmers and winemakers are generous and tend to pull together and support each other. We hope this purchase ensures continuity for Palisade’s ongoing position as the state’s fruit and wine capital.”