A musty winery(se)
Wine is distilled and prepared in this musty workshop. Locally grown grapes--green ones because red will not grow here--are used to make refreshing, sparkling white wines. Locked away in a cellar, the wines are left to mature. Being immortal the elves have time and patience to wait. A tub full of grapes is here ready to be stomped.
The only obvious exit is southeast.
An elven artisan