Congratulations Chicagoland!

Wonder when or if the market correction will occur. I can only think of five breweries that have closed in that time.

Or maybe I'm wrong, and breweries are the new neighborhood bar, and that's as far as most of these breweries amount to...

 

I think it's more the latter. Though, I also have no doubt that with the greater competition around today that breweries will close at a higher rate.

 

What a great question...I talk about this all the time with my buddy. *Personally* I do not see how it can sustain and I expect the breweries in a strong financial position to survive and the others to fold. No industry sees growth like this without having a correction period. Not to mention, you cannot expect all good brewers to be great business owners. They just do not go hand in hand. I own a business and I am terrible at the business ownership end of it, but great at handling the actual business/work, if that makes sense.

On the other hand, as you said, this could be the future of the local bar/social gathering places. If that is the case, many of the smaller breweries will be able to survive since they will have less overhead. As we all know, you will always be able to sell a draft pint at the bar for more than you can sell the same 16 oz. beer at a liquor store. If you can sell on draft what you brew, you would have a nice little business...

 

IMO, this is the correct answer. Take for example a place like Empirical. I’ve given them soooo many chances but their beer is “eh” and in some cases bad. But they’re in the ‘hood, decent atmosphere and allow dogs. It’ll thrive with that formula if they stay at what they are

 

Yeah most of the ones I know that closed we're poorly run businesses.

Baderbrau was over leveraged, Ale Asylum didn't renew their license (Took out Arcade in the process), and Break room was run by a scumbag.

 

“Chicago counts 167 breweries within city limits, and counting Northwest Indiana, up to Wisconsin, and down to Aurora and Joliet.”

Sooo...Chicago most certainly does not have 167 breweries.

That being said, I’m sure San Diego includes Chips Vista, Carlsbad, and Escondido and LA is basically just a bunch of suburbs loosely tied together anyway, so I’m OK with it.

 

This has been my argument for a long time. The craft beer industry is going to go hyperlocal and people with mostly just drink fresh beer in the neighboorhoods. Why would I go drink at a bar when Forbidden Root is around the corner? or depending on where you live in the city Half Acre, Rev, The mousetrap, etc.

 

Yep. This is exactly why I never make it to FR, even though I love it. It just doesn't make sense outside of special occasions, when places like Corridor are within walking distance to me.

 

I must agree. All the new breweries are putting immense pressure on regular bars. I am going to a work party tonight that is hosted at a brewery. Every year prior it was at a bar.

 

Illinois law limits them to three locations, but the general point you made still applies.

 

I'm kind of hoping they decide to move in a direction other than essentially due north at some point.

 

There is lots of room to the west

 

Location could have been a factor, but I'm not the expert as I live in the burbs. I will point out that Half Acre doesn't have a problem in the area, but again I don't know if that mile distance between them or being on Lincoln vs Montorose makes the difference.

I do know a lot of Break Room's problems were a result of their owner. They've been hashed here before, but their mug club or whatever it was called was a huge screw up. I also know of at least two bars that his attached bar building business didn't finish, but they still took money from people and had been taken to court.

I don't know much about Finch, so I can't really comment on that.