What’s going down beneath the Sir Walter Apartments on Fayetteville Street has been on the hush-hush—but something spirited is about to surface. Local restaurateur Anthony Rapillo (of Layla’s Son Hospitality—think Flour & Barrel, V Pizza, Flask Cocktail Bar and The SideDoor) and Chopped champ Katsuji Tanabe are breathing new life into the long-dormant speakeasy under the former famed Sir Walter Hotel, with an opening slated for this summer.
Brantlee Nettles Nicks
The concept will debut as The Third House, nodding to its “North Carolina’s Third House of Government” nickname and legacy as a hub for political activity. True to its covert roots, the new 25-plus-only digs keep things tightly under wraps: no signage, a nondescript alleyway entrance, zero Google or GPS presence—and even photography will be highly discouraged, with a strict dress code to match.
Honoring the dust-covered den’s bones while adding a mod spin, the duo is resurrecting the space’s OG character—from red leather booths and wood paneling to the vintage Subway tile, original bar and dance floor. To boot, expect an Asian-inspired restaurant on the other side of the space—separated by a wall—where Tanabe will dish out sushi and nigiri. (Fun fact: Eventually, the pair will also take over the upstairs with a coffee shop that’ll offer the op to serve hot food.)
On the bar side, Rapillo has tapped local mixologist Duke Campbell (formerly of Dram & Draught and The Willard) as beverage director across all of Layla’s Son ventures, crafting cocktails at The Third House that complement Tanabe’s fare.
Expect a lively energy to match: “The music’s gonna be louder than most other restaurants,” says Rapillo of the culmination of the two concepts. “You have to pass through the dance floor—hopefully setting the vibe of a fun place you see in New York… or a supper club.”
Beyond dining, dancing and drinking, Rapillo teases monthly experiential events a la Flour & Barrel—think fire throwers, murder-mystery nights, Top Chef dinners and live music four to five nights a week.
Grown, lively and unpretentious, “this will be a place adults can go, let loose and have a really good time—and not feel super-restricted,” says Rapillo. Aka where the music’s pulsing, the vibe’s loose and the secret’s worth keeping. @third.house.dtr
Two Raleigh restaurateurs are resurrecting a hidden speakeasy below Fayetteville Street.
Tucked below Fayetteville Street is a time capsule of Raleigh history: an abandoned speakeasy located directly underneath Sir Walter Apartments, which formerly housed the famous Sir Walter Hotel. Now, the dust-covered den below the city’s oldest surviving hotel building is rising like a Phoenix thanks to Anthony Rapillo (of Flour & Barrel, V Pizza, Flask Cocktail Bar and The SideDoor fame) and Chopped champ Katsuji Tanabe.
A designated historic landmark, the hotel—which was constructed (and saw its heyday) in the 1920s—was a hub for political activity, earning it its famed “North Carolina’s Third House of Government” nickname. Because, naturally, what better politico hang for wheelings and dealings than a hidden speakeasy?
Long since forgotten, its unearthing a century later revealed beautiful bones complete with historic remnants a la original booths, tables, bartop and some light fixtures, enticing many Raleigh entrepreneurs to acquire the sacred slice of real estate. Alas, Rapillo and Tanabe were the sole proprietors to score an in-person meeting with the building’s owner, Capital Realty Group. And the rest, quite literally, is history.
With lease now in hand, the entrepreneurial pair plans to revive the speakeasy, retaining its signature red leather booths and wood details while bringing energy back to that once-thriving dance floor. And propelling the space into its new age, the duo will add mod touches to the downstairs den, including two bars and entertainment—think live DJs, dancing, and bottle/shots service.
“We want it to be a place where adults can go and let loose and have a really good time—and not feel super-restricted or like they’re somewhere fancy,” says Rapillo. Think very fun, very loud and very dark, he adds. In short, a total vibe.
Meanwhile, a separate side from the dance floor area serving subterranean sips and sushi will lean more into a restaurant atmosphere with loungey booth seating and a Japanese-inspired menu by Tanabe.
Taken together, the dark and moody space will tout a true speakeasy scene—down to the absence of signage or a bouncer checking people in at the exterior door upstairs). And it will remember where it came from—from the old photo mementos to the potential moniker… Rapillo even wants to name it The Third House. “If we’re not gonna dive into the history, why are we doing this here?” he says.
But the underground haven—now DTR’s fifth behind a bevy of outstanding below-ground bars: Foundation, Fox Liquor Bar, Watts & Ward, and Sous Terre—won’t just serve as an ode to Raleigh’s history, but a beacon of her future. It’ll stand on the shoulders of all the longstanding and newly bowing businesses securing DTR as a destination for the future.
“We feel like Downtown in five, 10 years is gonna be back to being the coolest place to be in Raleigh—and we want to be a part of it,” emphasizes Rapillo. “Downtowns are always vital to a city’s success. … And the space is so cool.” Ready to go back in time?
As Foundation turns 15, we look back at how the DTR speakeasy has shaped Raleigh’s cocktail culture—and what’s next.
Before Foundation even opened its doors 15 years ago, co-owners Will Alphin and Vince Whitehurst saw it as a Raleigh institution. Fast-forward to today, and now truly ingrained in DTR’s identity, it will enter its next chapter as bartender/manager Kyle Hankin slowly takes over the reins.
From the jump, the OG duo—Whitehurst, an architect; and Alphin, a designer and builder—designed Foundation as a place “tied to the city, not to a person, that would be its own benevolent presence and have its own personality,” says Alphin—“so that every guest could have their experience at the bar on their own terms.”
Though it was the first “modern-day cocktail bar” in the city, it never had an arrogant air about it. Foundation’s original manager boasted a culinary school pedigree and a résumé that included exposure to New York City’s cocktail scene—and precisely where he garnered ideas for seasonal farm-to-table-esque cocktails made with locally sourced ingredients (also inspired in part by what Ashley Christensen was doing at Poole’s at the time). Not to mention the bar’s sustainable MO that remains to this day, making for the “goodliest drinks under the cope of heaven.”
But despite being at the forefront of avant-garde cocktail culture, the scene itself and guest experiences have always remained the focus, maintains Alphin. “Our landlord called it a lounge,” he says. “Some folks call it a whiskey bar, or a cocktail bar, or a speakeasy or their neighborhood bar. We always nod in agreement with anyone that has the courage to venture down the steps.”
Alphin stresses that’s not to say the folks behind the scenes were not an essential part of the, well, foundation. For its part, the drinking den has seen its fair share of brilliant individuals behind the stick, on the floor and in the pop-up kitchen, including Hankin (see right for more standouts), who Alphin says is a “true natural hospitalitarian, to borrow a term from restaurateur Danny Meyer.”
And, so, knowing they wouldn’t be the owners for as long as they hoped the bar would be around, Alphin and Whitehurst saw Hankin as a natural fit for the bar’s next phase—though they will remain involved in an advisory role for as long as needed, “and as bar customers until they put us in the ground,” Alphin emphasizes.
“Ownership of the bar is a weird feeling—a very good one, but certainly strange,” Hankin admits. “Having the responsibility to continue the legacy is pretty big, but the last seven years behind the bar have prepared me for it. I’m excited for the new chapter.”
Regardless of the new ownership, Alphin hopes the space’s character will persevere, and will continue to serve the best Old-Fashioned in town. “Good bars, good restaurants and all small businesses need a healthy ecosystem to thrive,” he says. “I’m hoping we’ll remain reliable for folks who just like the same old thing, or folks who like the opportunity to try something new.” Cheers to the next 15+ more years.
Fave Memories Kevin Barrett’s last day, the 10th Anniversary Party, Longleaf Swine cheeseburgers, when we realized Rumple Minze was made in the U.S., deep cleans, menu changes, watching storms out front, picking private barrels and so many more — Kyle Hankin, new Foundation owner
Foundation opened at the perfect time for the reemergence of Southern cuisine, pre-Prohibition cocktails and incorporating seasonality into the approach of a menu. All of this separated Foundation from some other cocktail bars that have come and gone that relied on trends instead of being built on something they actually believed in.” —Andrew Shepherd, founding partner, Stanbury | Original manager/founder and creator of Foundation’s core beverage program
There were many a great night, but my favorite memory was the party they threw on my last day. We had past Foundation bartenders like Matt Bettinger and Alex Flynn guest bartend, as well as future Foundation bartenders like Garrett Waddell. There was an amazing crowd there that night. They even let me bring in some liquor made outside the U.S. It was a great way to transition from seven years at Foundation to my future at Dram & Draught.” — Kevin Barrett, co-owner, Dram & Draught | Foundation opening employee, then later manager
One of my favorite memories was being greeted by Lucy (Garret’s dog) upon entry. Definitely made the butt-kicking we were going to get a lot better! Also being able to see those dudes come up with their mad scientist cocktails was really cool!” — Marc Russell, co-owner, Longleaf Swine | Hosted pop-ups at Foundation
Nothing beats a night of tending bar, chatting up regulars (and those soon-to-be), then finishing it up with a session at Table 5 (if you know you know). Solving the big-picture stuff, or maybe scheming how to make a little trouble down the line. Either way, those late nights that ended as early mornings after a long day’s work—nothing beats it. Cheers, Foundation, and thanks for all the times.” — Matt Bettinger, co-owner, SideBar, Hank’s Downtown Dive, C. Grace (RIP) | Former Foundation bartender
My favorite memories were always the last shifts of any bartender (or server) that worked there. The energy in the room was never matched, and I was always impressed by how much the community showed up to say farewell to their neighborhood Foundation employee and friend. I remember coming back to Raleigh from DC when I lived there for Kevin Barrett’s last night in 2016, and it truly felt like a birthday party. Every regular customer was there all at the same time and it was an amazing night.” — Alex Flynn, senior sales manager Northeast, Durham Distillery (also helped open Haymaker and The Green Light) | former Foundation bartender
Fun fact: Norton wandered in because his car broke down nearby and got offered a barback position that same day, then climbed the ranks to bartender, fell in love with a regular (Kim Hammer) and the pair opened two DTR bars. —Lewis Norton, co-owner, Bittersweet, Johnson Street Yacht Club | Former Foundation bartender
