Friday, December 27, 2024

2024 Year in review: North Texas industry perseveres despite down year

All logos and graphics the property of their respective owners. Image: Brian Brown/Beer in Big D.

The intro to this year's annual review piece is probably going to sound a little bit like a broken record - times are tough and growth is stagnant, with brewery owners doing any and everything they can to stay afloat.

Ask a local owner how things are going, and you get responses like "we're just barely breaking even," or "we've literally never made a profit." That, or there's a note of exasperation with a shake of the head and a shrug, followed by "I'm running a craft brewery." Even worse, "Man, every week, we're just trying to make it to the next Monday."

These are actual conversations had in the last 12 months. Yet, the industry continues to persevere in the face of ongoing difficulties. The bottom still hasn't fallen out despite accelerated closures, but that's only because new openings have been just enough to keep things in balance since 2021.

Whether or not that continues will be something to watch. For 2024, closings outnumbered openings for the second time in three years. That, and there were only four openings - the fewest since 2011, the origin point of the modern craft beer boom locally. And while there are more than a dozen new projects in the works, the development cycle has been a lengthy one for more than a few, leading to uncertainty as to when they'll actually open.

Of course, breweries aren't the only entities struggling, as evidenced by double-digit closures of craft beer-centric bars and growler shops across D-FW in 2024 (see a list provided later in the article). Those calling it quits are citing many of the same reasons behind brewery closures - rising costs, rising rents, and other factors being at the forefront of decisions to fold.

So, how best to navigate the market going forward? In its own 2024 Year in Beer post, the Brewers Association points to things like brand differentiation, a renewed focus on successful product lines (after years of pushing diversification), and being mindful of the overall customer experience.

Even then, uncertainties abound, which leads to the "adapt or die" refrain all over again, but brewery owners would probably be the first to tell you they've been pivoting almost daily since before the pandemic.

As for consumers, the message should be clear - support your local bars and breweries today, so you're not lamenting their loss tomorrow.

Now, more on the 2024 year in beer...

The Business of Beer - Local Dealings

Something else the Brewers Association mentions is the increasing likelihood of consolidations and strategic alliances. Locally, we've had breweries make deals to tap into excess capacity at other locales, but a full-on merger like that of three Houston breweries over the summer hasn't come to pass here.

What we have seen, though, is how breweries can get passed around like trading cards when it comes to large-scale buyouts. Last year, the owners of Four Corners Brewing Co. regained control of their Dallas-based brewery after being acquired by Constellation Brands in 2018. Unfortunately, a different fate has befallen the area's two other acquisition targets.

Deep Ellum Brewing Co. of Dallas, which joined CANarchy in 2018, was part of a package sold to Monster Energy in early 2022. Then, in May of this year, Monster ceased local operations in favor of moving production to a facility out of state.

Then, there's the case of Revolver Brewing of Granbury. After a majority interest in the brewery was sold to MillerCoors in 2016, the big beer boys passed the brewery on to Tilray Brands in September. Tilray, however, seems to have its sights set on the THC-infused beverage space, which leaves Revolver's future in doubt.

Moving on to other dealings, even in a tough market there were a number of expansions in 2024. 

From the roster of North Texas brewing operations, Tupps Brewery completed its move to a larger facility in Downtown McKinney in February, while Union Bear Brewing Co. of Plano finalized an expansion with a July opening of its new Denton taproom, where production had begun late in 2023.

Among local retailers expanding their reach, Civil Pour Coffee & Beer raised a new "Ruckus" in Richardson and The Old Monk established a new presence in Oak Cliff.

Out-of-state retail companies made moves as well, with The Brass Tap of Florida upping its area franchise count to 13 with openings in Euless and McKinney, Hoppin' of North Carolina introducing its self-pour taproom concept to Fort Worth and Grapevine, and Voodoo Brewing Co. of Pennsylvania adding spots in Plano and Fort Worth (the latter closed after only a few months).

The area's one notable contraction came to light just recently, as Fort Brewery & Pizza is closing its restaurant and taproom in Fort Worth to focus on production and distribution only.

What's in store for 2025 (or later)? Union Bear is opening a restaurant (sans brewing operations) in McKinney, Rollertown Beerworks of Celina has begun work on their new headquarters in Frisco, 903 Brewers of Sherman has taken out a lease on a satellite spot in Denison, Parker County Brewing Co. is moving across I-30 to a larger locale in Willow Park, Edgewise Eight Brewing has a new spot coming soon in Weatherford, and Bosque River Taphouse has a permanent location in the works for Stephenville.

There are also rumblings of an expansion or a second location being considered by Manhattan Project Beer Co. of Dallas. This, after consecutive years of having the largest reported year-to-year gain in raw barrels produced in North Texas.

Finally, Voodoo Brewing Co. looks to continue its occupation of North Texas with taprooms in Prosper and Lewisville.

The Business of Beer - Statewide Statistics 

According to 2023 economic updates provided by the Brewers Association, Texas produced nearly 1.52 million barrels of beer last year (up from 1.3 million), the state continuing to rank fourth in production nationally. On total brewery count compared to 2022, Texas had 445 breweries (up from 407), with 2.1 breweries per capita (up from 1.9) - ranking 48th nationally (down a notch from 47th).

For 2024, preliminary numbers based on personal tracking show there were only around 30 new brewery openings across Texas (down from 60+ in 2023), with 35 or more closures (down slightly from 39 in 2023).

Numbers for total economic impact in 2023 were up as well, Texas ranking third nationally (steady) while contributing over $5.25 billon to the economy (up from 4.55 billion). Then, with regards to employment, statistics show 28,543 full-time equivalent workers were employed by the state's brewing industry during 2023 (up from 27,000), with the average wage being $49,312 (up from $47,237).

Image/Data: Brewers Association.

Comings and Goings

The overall brewery count in North Texas didn't see significant movement up or down for the third year in a row, with four openings and seven closings and/or consolidations taking place in 2024.

A couple of notes...

Franconia Brewing Co. of McKinney is included in the list of permanent closures for 2024. Social media posts suggest plans to move the business after shuttering the McKinney site in February, but the company filed for bankruptcy in October.

Also, one retroactive change involves adding Brew Aleworks of Granbury to the closure count for 2023. The company closed its taproom and restaurant in November 2023 to focus solely on production and distribution. This involved entering into a joint proprietorship with Revolver Brewing of Granbury, but as of now a related TABC application has not been approved.

With that, there are now 88 active brewing operations in North Texas after taking into account the already announced 2025 closure of Barley & Board in Denton. Adding side projects and subtracting licenses for breweries with multiple locations, 85 different brands of local beer are available in the market.

On the horizon: Acre Distilling of Fort Worth (adding brewing operations), Balanced Rock Brewing of The Colony, Bearded Ax Brewery of Midlothian, East Dallas Brewing Co. of Dallas, La Hermana Cerveceria at Far-Out Dallas (formerly Wriggly Tin), Forney Brewing Co. of Forney, Landon Winery of Gainesville (by way of Greenville production space), Palo Pinto Brewing Co. of Strawn, Smittox Brewing Co. of Dallas, Toasty Bros. of Denton (permanent location), Village Creek Brewing Co. of Rendon...and others.

Openings:

New Locations (not counted as a new opening):

New Taprooms (not counted as a brewery opening):

Temporary Closures:

Permanent Closures:

Consolidations:

Taproom Closures (not counted as a brewery closure).



Source: Individual research.
The Year in Beer 
  • Preferred pours of 2024 (new-to-market, or newly-discovered beers some blogger particularly enjoyed):

    Armor Wheat Wine
    Celestial Stare at the Sun Japanese Black Rice Lager
    False Idol Knifehead Bourbon Barrel-Aged Imperial Stout
    Ivanhoe Dammit Janet English Brown Ale
    Jaquval Rabble Rabble Coffee Stout
    Maple Branch Prince's Gate Smoked Amber Kellerbier
    Martin House Day Ruiner Whiskey Barrel-Aged Blonde Barleywine
    Oak Cliff Ravenator Doppelbock
    Odd Muse The Hermit Barrel-Aged American Barleywine
    On Rotation Orchard Belgian Dark Strong Ale with Plum & Apple
    Rollertown Revolution Czech Dark Lager
    Soul Fire Cleburne's Goatman Oatmeal Stout
    Tupps Red Riot Rye IPA
    Turning Point Under the Big Top Apple Brandy Barrel-Aged Salted Caramel Imperial Stout
    Union Bear New Zealand Pilsner
    Vector/Smittox Collective Rhythms Coffee Cream Ale

Cheers and Happy New Year!

Friday, December 13, 2024

By the Horns no longer brewing in Mansfield

Image © Brian Brown/Beer in Big D.

According to reports on the ground, By the Horns, the resident brewing operation at Del Toro BBQ in Mansfield, is now closed.

By the Horns originally emerged in January 2019 as part of a multi-concept development called The Backyard from Brain Storm Shelter. The brewhouse shared space with a taco purveyor for a little over a year, but both shut down in June 2020 due to COVID. The brewery's absence on the scene was then further extended once the parent company filed for bankruptcy.

The assets on site were eventually acquired by Local Favorite Restaurants, who brought By the Horns back to life in the spring of 2022 with a new food partner in the form of Del Toro BBQ. From there, the brewery essentially picked up where it left off in terms of everyday offerings, though house beers were re-branded with a farm and ranch theme to fit in better with the barbecue element.

While the brewery aspect has been discontinued, food service at Del Toro BBQ will continue business as usual.

Thursday, December 12, 2024

Fort Brewery & Pizza to close taproom and restaurant, focus on distribution

Image credit: Fort Brewery & Pizza.

Fort Brewery & Pizza has announced the company will close its taproom and restaurant in Fort Worth, with plans to focus on private events and the production and distribution of its beers.

Founders Will Churchill and Corrie Watson got into the beer business after purchasing Chimera Brewing Co. on Magnolia Ave. in 2018 (originally named Zio Carlo Brewpub when it opened in 2011). The pair moved the business to its current locale at 2737 Tilray St. in October 2021.

The change of venue had helped the brewpub develop a reputation as a premier pizza and live music spot, but according to a social media post, growing demand for its beers and a need to expand has led to this change in direction.

"Over the years, our Distribution has grown like crazy! We went from being found in just our tap room to over 175 retail outlets throughout DFW - and people are screaming for more!

To scale like we need to, we will be closing our Tap Room and Restaurant...so we can focus our energy and attention on Private Events and growing the Fort Brewery brand across our great State of Texas!"

The final day of service at Fort Brewery & Pizza will be Sunday, December 29.

New concept Far-Out replaces Wriggly Tin

Image © Brian Brown/Beer in Big D.

Wriggly Tin, the project which opened in late 2023 featuring Small Beer Works (an evolution of the former Small Brewpub in Oak Cliff), appears to be no more, as a new concept is set to take over the space at 1906 S. Haskell Ave. in Dallas.

In early September, Wriggly Tin announced it would close temporarily to make "internal changes" to its operation. At the time, the brewpub had been open for less than a year.

However, at some point the closure became permanent, and in recent weeks signage for a new tenant named Far-Out was installed on the site. A social media post on December 11 shared the following:

"A Culinary Adventure Awaits!

After months of creative brainstorming and a bit of furniture rearranging, we are thrilled to announce an exciting new pioneering concept that will open its doors in 2025. Introducing Far-Out & La Hermana Cerveceria, a dynamic new restaurant and brewery born from the collaboration of industry veterans: Marc Cassel of The Green Room and 20 Feet Seafood Joint, Christopher Jeffers of Bolsa and Smoke, and Stephanie Houston, the trailblazing first Latina Production distillery owner in America."

Details on what to expect from the brewing operation have not been revealed, but comments on the company's Instagram page suggest Small Beer Works will be rebranded as the aforementioned La Hermana Cerveceria.

For now, though, Far-Out is now open for cocktails while other aspects of the business are finalized.

Tuesday, December 10, 2024

A rare breed indeed, Rahr & Sons turns 20

Image credit: Rahr & Sons Brewing Co.

This year, Rahr & Sons Brewing Co. of Fort Worth celebrates 20 years in business since being founded in 2004. It's no small feat, considering breweries in North Texas have typically only stayed in business for 3-4 years over the course of the past two decades.

In fact, staying power in this market has been a rarity. Just over 10% of brewing operations to open here since 2004 have made it to even 10 years. And 20? Eight have hit the 20-year mark in the history of North Texas, the local industry dating back to 1855. Two happened before Prohibition, after which the list includes MillerCoors, Big Buck Brewery & Steakhouse (later Uncle Buck's), Humperdinks Restaurant & Brewery (three locations), and now Rahr & Sons.

Today, amongst those to debut in the craft era, not only is Rahr & Sons the oldest brewery in North Texas, it's also the 10th oldest physical brewing operation in the entire state (Rahr & Sons ranks 11th as a company, but the 10-spot is occupied by an entity whose products were contract brewed for much of its early existence).

As for how many have come and gone during Rahr & Sons' reign, over 150 breweries have opened since 2004 in North Texas, with 70 of those eventually closing.

So, how did the brewery reach this milestone? The path to 20 didn't come without pitfalls, especially through the time period prior to when the modern craft beer boom took off locally in late 2011. Up to that point, Rahr & Sons persevered despite early financial pressures, head brewer turnover (three in year one, six over the first seven years), temporary management by an equity partner, and ultimately the roof collapse of February 12, 2010, that inspired the beer, Snowmaggedon.

Since then, Rahr & Sons has faced many of the same challenges the industry has as a whole: efforts to overcome and overturn anti-competitive laws, increased competition, COVID, changing consumer preferences and more. Of course, nothing can compare to founder Fritz Rahr's most recent fight against cancer.

Thankfully, the brewery's namesake is back at the helm of the company he worked so hard to keep afloat, which for time in 2005 meant manning the brew kettle as the lone full-time employee. The "Sons" have grown up and are on board these days too, fulfilling the original vision behind the brewery's name.

Looking back, it was interesting to find an article entitled "Fritz Rahr Quit Railroads to Open a Fort Worth Microbrewery," where Fritz told the Fort Worth Star Telegram  he hoped to one day be known as the "Shiner of Fort Worth." A moment later, he altered the sentiment to say "Actually, the Rahr of Fort Worth. How about that?"

The story ran 20 years and two months ago. How about that, indeed.

Cheers and congrats to Rahr & Sons!

Saturday, December 7, 2024

Barley & Board closing brewpub in Denton

Image credit: Barley & Board.

A longtime Denton brewpub is set to close its doors after the first of the year.

Barley & Board, developed by Radical Hospitality Group, debuted on the Downtown Denton Square in August 2015. The company went on to open a second restaurant in The Colony during the summer of 2021, but that locale closed as well just last month.

As the city's first gastropub, elevated food offerings were naturally a focus. But, on the topic of in-house brewing operations, Barley & Board might best be remembered for its Home Brewers League, a program where local homebrewers were invited to collaborate on the production of a commercial batch. At least two Denton-based brewery owners are League alums - Brian "Toast" Tiensvold of Toasty Bros. and Michael Velasco of Black Fox Brewing Co.

According to a social media post, Barley & Board's closure will take effect on Monday, January 6, after a decision was made not to renew the lease on the building at 101 W. Oak St.