History of Wilmington Beer- Good Hops Brewery

by admin | Nov 19, 2015 | Blog

This entry is part of a periodic series about the growing craft beer industry in Wilmington, N.C. The series is shared with our friends at the Port City Brew Bus. Check our blogs to stay updated on the series. We’ll profile a different brewery in each addition. We begin by looking at the history of Wilmington’s craft beer industry.

In 2012 Rich and Patricia Jones helped their son John Garcia, open Black Mountain’s Lookout Brewing. In 2013 they returned to their retirement home of Carolina Beach and spent the next six months opening Good Hops Brewing. With a craft beer boom in full swing the Jones’ felt the focus was on the I.P.A. style. So they decided to focus on less hoppy styles like their flagship brew Donna Golden Ale.

“We Love the Beach,” Jones said of the couple’s decision to open in Carolina Beach instead of Wilmington. After opening the doors in June of 2014 the brewery quickly became a community institution. Realtors are regular supporters says Jones, “they either bring clients by or pick up beer to have available.”

The brewery includes a family-friendly taproom and outdoor seating area, free of televisions, “I love the fact we don’t have T.V.s, it makes people entertain each other,” says Jones. The taproom’s intimate, community feel allows for conversations, often about the beer. Their reputation for helping local charities in the community has spread; in the first six months alone they donated 38 kegs for events and benefits.

Maintaining a strong relationship with Asheville breweries, specifically their son John at Lookout has helped the Wilmington scene grow in Patricia’s opinion, “we talk everyday with our son,” she says. Almost 70% of their clientele are new customers through word of mouth, often from other breweries. “We get customers that come in and say I just came from your son’s brewery or I just came from Wicked Weed,” says Patricia.

Distribution remains a priority with taproom sales a close second. Rich and Patricia believe quality is most important and have decided not to bottle or can for now. They don’t want the pressure of “filling shelves” to affect the quality, “It’s important that Wilmington continues to put out top quality beer.” When people ask why a style isn’t on tap Rich will often reply, “we’re waiting on the beer.”

Craft Beer is Booming and There’s Still Room to Grow

by admin | Nov 2, 2015 | Blog

Anyone who has been to Wilmington recently, or even heard of Wilmington, knows that Wilmington has fallen in love with craft beer. From long time home brewers taking the next step to investors wanting to get into a fun and growing market, craft breweries are popping up everywhere. To meet the growing demand for craft beer, several new bottle shops and bars also have opened in and around Wilmington. It’s an exciting time for those who like to brew or drink craft beer (or both) and the good news is that there’s room for more growth.

Recent Boom

For a number of years, Front Street Brewery was the only game in town. More recently, Wilmington Brewing Company, Flytrap Brewing, Good Hops Brewing, and several others have opened for business. There also are a number of breweries in planning, including New Anthem, which will be joining a handful of breweries downtown.

In addition to the new breweries that have opened, the number of bottle shops has grown significantly. At one time, Lighthouse Beer and Wine was one of the few places where you could find a wide selection of craft beer. In just the last two years, however, Fermental Beer and Wine, Bombers Bev. Co., Palate Bottle Shop & Reserve, and Hey! Beer have set up shop, and a number of others are opening soon. Two things all these places have in common – delicious beer and friendly people.

Room for More

Although many breweries and bottle shops recently have opened, there still is room for more growth in this market segment. Unlike most other industries, the brewery industry is unique in that it is collaborative rather than competitive. It’s not uncommon to see the local brewers in each other’s tap rooms and many of them are close friends. The people who make up this industry are cooperative and willing to help others new to the business with advice and war stories about their own beginnings.

So if you’re thinking about opening a brewery of your own, you’ve picked a welcoming industry and an ideal location, but don’t be fooled into thinking that owning and operating a brewery or brewing beer is easy. Those who have taken the leap to open a brewery have worked hard to be successful. As much fun as it may be to make beer for a living, it’s hard work and it will take time and dedication . . . and money.

The Costs

There are many costs to consider when opening a brewery. The first major cost will be the equipment. To get started, you’ll need kettles, kegs, boilers, cooling systems, storage tanks, fermentation tanks, filters, piping and tubing, refrigeration equipment, cleaning equipment, waste treatment systems, and tap handles. Maybe even bottling and canning lines and beer labeling machines. Depending on the size of the brewery you plan to open, this equipment could cost $100,000.00, maybe much more. You also will need to consider room for expansion when purchasing equipment. If your beer is a hit and the demand soars (that is the goal, right?), you may need to expand your operation quickly, so you should account for that when purchasing your equipment and choosing your location.

The location of your brewery will be another significant cost. In addition to the monthly rent, or mortgage payments if you purchase the property, you may have to do some significant construction work to upfit the property. Unless you rent a building that was formerly used as a brewery, there’s a good chance it will not fit all your needs. You will need to make sure the ceiling is high enough to fit your equipment, you will need to make sure you have proper plumbing and electricity, and you will need to make sure the floor is suitable. In addition to proper drainage, the floor will need to be able to support the weight of the equipment and the impact and temperature shock.

You also will need to apply for all the necessary permits, including a federal brewing permit from the Alcohol and Tobacco Tax and Trade Bureau. If you plan to serve beer at your brewery, and most breweries do, you will need to obtain local licensing, including permits from the North Carolina Alcoholic Beverage Control Commission (“ABC”). You may also want to consider a retailer license if you plan to sell shirts and other merchandise. It may take three or more months to obtain all of these permits and licenses.

A few other costs to consider are the costs to set up a corporate structure and insurance. There are several different types of corporate entities from which to choose and it is important to choose a corporate structure that fits your needs. In addition to the casualty and liability insurance that any lender will require, you will also need a brewer’s bond, which ensures you pay federal taxes, in order to obtain the federal brewing permit.

You also need to be careful how you finance your brewery. Many new brewers rely on private investors to finance the cost of opening a brewery instead of borrowing from a bank. This is a good way to raise capital, but there are many regulations regarding investing and you need to be sure you comply with all of them

All of this may sound daunting, and it is, but recent legislation signed into law by Governor McCrory last month may help to remove some of the risk. This legislation made several changes to North Carolina’s ABC laws, but one in particular may help aspiring brewers. Alternating proprietorships are now permitted in North Carolina. This means a brewer with a federal and state brewery permit may rent (or maybe use it for free if you’ve got a good friend with a brewery) the space and equipment of another brewery to brew its own beer. This will provide an opportunity for a new brewer to produce beer on a larger scale than he or she otherwise could and get it out to enough people to determine if people actually like the beer. There are no guaranties in brewing, but being able to determine whether there is a demand for your beer before investing all the money to cover the costs described above is certainly an advantage that until just recently was not available to brewers.

The point of this article is not to discourage all the would-be breweries. It’s quite the opposite. We want anyone entering into this business to come in with their eyes wide open, ready for the obstacles that they may face. If you think you are up for the challenge, and most importantly, if you think your beer is good, Wilmington welcomes you. We can never have too many good breweries or too much good beer.

This article is not intended to give, and should not be relied upon for, legal advice in any particular circumstance or fact situation. No action should be taken in reliance upon the information contained in this article without obtaining the advice of an attorney.

ND: 4841-1637-8405, v. 1

History of Wilmington Beer

by admin | Sep 24, 2015 | Blog

Wilmington, N.C. has been known as a ‘port city’ since it’s incorporation in 1739. There are currently nine breweries operating in the area with more planned to open in the coming months. This amount of growth in the craft beer industry is quickly earning Wilmington the nickname ‘beer city.’

Many of Wilmington’s craft beer enthusiasts may not be aware the city’s post-prohibition craft beer history dates back more than two decades beginning with Wilmington Brewing Company; Front Street Brewery and Azalea Coast Brewing soon followed.

In 1994 Tom Dergay combined his “love of history and appreciation of beer” to open Wilmington Brewing Company (no affiliation to the current Wilmington Brewing Company). The Dergy’s brand was distributed in bottles and kegs as far south as Florida gaining a noticeable market share in Wilmington.

The location off of River Road became a thriving part of Wilmington, as well as a source of pride for Wilmington residents. “The community as a whole supported the brewery unbelievably,” says Dergay.

Celebrating occasions such as new beers with parties at the brewery is the one major advantage he had over the much larger breweries. “I had more friends when I owned a brewery than I could ever imagine,” jokes Dergay. One year he was invited to 11 Super Bowl parties; unable to attend all 11 he delivered a complimentary keg of beer to each.

Dergay sold the brewery to Williamsville Brewery in 2000 and the operation moved to Farmville, N.C. in what is now the Duck-Rabbit Brewery.

Following closely was Front Street Brewery, which has been serving ‘pub grub’ and craft beer since 1995. They’ve become a landmark on Wilmington’s busiest downtown street and the brewpub’s namesake.

Front Street was part of a downtown revitalization project and briefly distributed bottles until their renovation in 2006. “We’re focused on selling beer here in the restaurant,” says Operations Manager Kevin Kozak. “It works best for us to keep everything here; it makes for a better product,” Kozak says about their 1,400 barrel production.

Two decades later the brewpub has grown and changed with the palates of Wilmington even hiring North Carolina’s first female Head Brewer in . Kelsie Cole began in production three years ago and has noticed a change in what customers order, “People aren’t just asking for our Kolsch or our Scottish ale, they’re asking for more obscure things like our barrel aged beers.”

Growth in Wilmington’s craft beer community can been seen at the city’s oldest running craft brewery daily according to Cole. “People are recognizing the beers we make here, beers I’ve put my heart and soul into and it’s very rewarding.”

In 2004 Azalea Coast Brewery began brewing with kegs and bottles being distributed the following year. They eventually shared the shelves at local grocery stores with some of the county’s largest brands before closing their doors in 2008. One former owner, Ethan Hall is now the Head Brewer at Ironclad brewery in Wilmington.

Both the economy and craft beer climate have changed considerably notes Dergay, who is jokingly referred to as the ‘O.G.’ of Wilmington Craft Beer by current employees. Dergay feels the industry is now driven by creativity and passion. “They(brewers) are smarter than the previous generations, they don’t want to work in a cubicle. These guys go to work in t-shirt and jeans and brew all day; they’re like artists, god bless em.”

Welcome to the Wilmington Ale Trail

by Jeremy | Sep 9, 2015 | Blog

Welcome to the Wilmington Ale Trail

Welcome to the Wilmington Ale Trail website and blog! The mission of the Wilmington Ale Trail is to promote our local awesome breweries and our coastal, craft beer culture. The explosion of breweries, bottle shops, and craft beer bars and restaurants in the Cape Fear Region has been amazing and the continued growth will be a boon to our local economy and culture. The goal of the Wilmington Ale Trail is to promote local breweries first, North Carolina beer second ,and all craft beer, last.

Stop by your local brewery, bottle shop , or craft beer bar and pick up a copy of the guide. This website will continue to be updated regularly so check back often for local craft beer news and events. Check out the video that shows our local breweries and those who make the beer.

Cheers,

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