The potential impact of future quantum networks hinges on high-quality quantum entanglement shared between network nodes. Unavoidable real-world imperfections necessitate means to improve remote entanglement by local quantum operations. Here we realize entanglement distillation on a quantum network primitive of distant electron-nuclear two-qubit nodes. We demonstrate the heralded generation of two copies of a remote entangled state through single-photon-mediated entangling of the electrons and robust storage in the nuclear spins. After applying local two-qubit gates, single-shot measurements herald the distillation of an entangled state with increased fidelity that is available for further use. In addition, this distillation protocol significantly speeds up entanglement generation compared to previous two-photon-mediated schemes. The key combination of generating, storing and processing entangled states demonstrated here opens the door to exploring and utilizing multi-particle entanglement on an extended quantum network.