Preliminary construction work was underway in June on the new Boneyard Beer pub in Bend. (Andy Tullis/Bulletin file photo)

A new pub for Boneyard Beer is inching closer to reality at what was once the site of a Chinese restaurant on NE Division Street.

Tony Lawrence, owner and co-founder of Boneyard Beer, said a late summer or fall opening is likely.

Contractors are preparing the parking lot and will soon remodel the existing 5,000-square-foot building. Matt Korish, of Bend, is the general contractor. He said demolition work on the existing structure is complete, and he’s waiting on building permits to start renovations.

As the third largest brewery in Bend, Boneyard’s plans for a pub, its first, generate its own buzz.

“The whole town’s been talking about it,” Korish said Tuesday.

Lawrence purchased the property at 1955 NE Division St., once the site of Shanghai Garden, through another entity, Rat Black Creations LLC, for $500,000 in January 2016, according to Deschutes County property records. After a year of planning, the project is taking shape.

“There’s been tons of activity and action and lots of money being spent,” Lawrence said Tuesday, “so that’s got me excited.”

Plans on file with the city call for a complete renovation of the former restaurant and addition of patios on the south and east sides. Interior plans show compartmentalized dining and lounge areas and two bars.

The existing bar will be refurbished for a cocktail lounge. The centerpiece is a new bar where Boneyard will flow from 16 taps, Lawrence said.

“We’re going to have a very large patio deck and hangout areas, interior and exterior,” Lawrence said. Korish said the interior will have an industrial feel.

A new kitchen is planned adjacent to the bar. Chris Mitchell, whose background includes Bistro 28 and Brother Jon’s on NW Galveston Avenue, will be head chef, Lawrence said. “He works really hard, and he’s fun to be around,” he said.

About 25 percent of the menu will feature brewpub staples, but the majority will feature “more flair,” such as tapas or small plates.

Jon Avella, formerly general manager of Churchill’s Pub & Grille, San Marcos, California, will have the same job at Boneyard, Lawrence said.

Boneyard will not brew on site. The company operates the original brewery on NW Lake Place, where it sells growler fills, T-shirts and other merchandise, and a production brewery off NE Empire Avenue. Lawrence said the Lake Place brewery, the former auto shop that gave Boneyard its name, will remain in operation but the retail side will move to Division Street when the pub opens.

Boneyard sold more than 22,000 taxable barrels of beer in Oregon last year, making it the seventh largest brewer in the state, according to the Oregon Liquor Control Commission.

— Reporter: 541-617-7815, jditzler@bendbulletin.com