Terrace has long been "the best restaurant in a tent", but soon the Wahgunyah attraction will get a permanent and impressive home.
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A new building is planned to replace the marquee at All Saints Winery which the restaurant is currently in.
It forms part of a $2 million expansion subject of a planning permit approved by Indigo Council this week.
All Saints chief executive Eliza Brown said it was prompted by COVID-19.
"We realised if we were going to really make a difference on the other side of COVID, we'd have to start putting plans into place for the next 10 to 20 years," she said.
"The dream for us is to have an international-standard, food and wine experience.
"We found a preferred architect ... and by about April, we started planning."
Documents lodged with council show the new building, to replace the tent erected in the early-2000s, will increase restaurant patronage from 72 to 126.
The visitor experience will be improved at the cellar door with upgrades and there are also alterations proposed for the Indigo Food Co. building built in 1968.
The project, which received $500,000 in Victorian government funding, must be approved by Heritage Victoria before a building permit can be issued.
Ms Brown said the plans had been designed to minimise impacts on both heritage and operations.
"You have to delineate between the old and the new for heritage," she said.
"The Indigo Food building will be opened up, so there will be casual dining, fine dining, and then a food and wine, immersive experience in cellar door.
"We're very mindful we've got a big wedding business we're running ... that won't be interrupted.
"It will be a staged approach so we won't be shutting down anything."
There is much excitement about the Terrace Restaurant getting a new home in what will be the biggest upgrade at All Saints since 1992.
Terrace was opened in 1993, and has been led over the last eight years by Simon Arkless, who finished up at All Saints two weeks ago.
Ms Brown said chefs trained by Simon had stepped us a co-head chefs.
"They are excited about this new project," she said.
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"It will create jobs too, it's really doubling the business of the front-of-house area.
"We're really wanting to get in young people and train them up."
It's hoped the build will be compete by the end of the year.
"If not then, early 2022," Ms Brown said.
"It's been a long time coming and it will be groundbreaking not just for us, but for the region."
