Preheat oven to 450 degrees. Butter a 2 quart baking dish and set aside. Place breadcrumbs in a small bowl and set aside.
Heat a 12 inch nonstick skillet over medium and add butter. Once butter has melted, transfer one tablespoon to the small bowl with the breadcrumbs. Stir with a fork to combine.
Add shallot to the remaining butter in the pan and saute until soft and translucent, about 2-3 minutes. Add mushrooms, increase heat to medium high and season with salt and pepper. Saute until mushrooms are browned and tender, about 10 minutes. Add thyme and stir to combine.
Reduce heat to medium low, add flour and cook, stirring constantly, for 1 minute. Add the white wine and cook until it has nearly evaporated, about 1 more minute. Stir in water and cream and bring to a simmer. Season with additional salt and pepper to taste. Transfer mixture to prepared baking dish. Sprinkle with breadcrumbs and bake 8-10 minutes or until brown and bubbly. Serve.