[1] Expansion into the Western Australian South West and the Great Southern wine region led to the establishment of a winery, located at Nannup in the Blackwood Valley.

The land of which Houghton was part (Swan Location II) was originally assigned by Governor James Stirling to Rivett Henry Bland in 1829.

[2][failed verification] In 1836, a syndicate of three British Army Officers, Houghton, Lowie, and Yule (who had been serving together in India) purchased the northern half of Swan location II.

In 1859, Dr. John Ferguson purchased the Houghton property for the sum of 350 pounds and in that same year produced the first commercial vintage of wine from the vineyard a total of 25 imperial gallons (110 L).

[11][12] One feature of this era was the Houghton Show White Burgundy, just over 500 cases were selected by the winemakers from each vintage, aged for 5 years, it won countless Trophies and Gold medals and was released with a special label for about 3 times the price of the 1-year-old regular wine.