by Steve Dwyer
Do you have your hand squarely on the pulse of winning redevelopment opportunities? It certainly varies based on communities’ supply and demand indexes. In taking a broad view, waterfront and healthfield initiatives are two development courses of action to pursue, while craft brewery developments are yet another.
These days, the allure for craft, small-batch breweries and brew pubs are being fueled by the demanding appetites of demographic groups like Millennials and Gen Xers, who are captivated by the mystique and cache of craft beer and what it represents.
During your own site selection due diligence, former industrial properties appear to be a compatible craft brewpub conversion zone—one reason being that there is less resistance in navigating local zoning ordinance re-designations.
Moreover, as Millennials gravitate to urban living, savvy developers start to establish a place-making vision that consists of the construction of lofts and market-rate condos and apartments as their redevelopment anchor. The alignment of a brewpub fits into this vision rather naturally.
So, what does it take to move the needle forward? As a case in point, an upstate New York developer—Signature Development Buffalo LLC—is seeking to convert a former industrial building in the Buffalo area into its existing Thin Man Brewery and business incubator. To make it fly, the firm requires an additional 10,000 square feet of space to the existing 40,000-square-foot building. The developer needs approvals from the Erie County Industrial Development Agency (ECIDA).
The project was reviewed by the ECIDA during a public hearing in late August, and marks the latest project by the developer in the North Buffalo neighborhood, which also features loft apartment conversions.
One way to ingratiate yourself to local development agencies is to roll out the “J” word—jobs. Indeed, one set-aside is for commercial use by small business and startup tenants—resulting in the creation of about 20 jobs, according to the developer’s application to the ECIDA.
How about securing tax credits—do you have a game plan? Is there a chance to roll the site into a TIF district designation? If we are talking about a former industrial site, perhaps it’s well positioned for this. To date, the former site that Signature is pursuing has been accepted into the state of New York’s Brownfield Cleanup Program, which does include tax credits. However, it's not eligible for historic tax credits.
As you think about craft brew development entities, think harder about establishing a laser-sharp site selection plan of action, as well as how you plan to engage local development agencies that hold the key to fortunes. Come armed with economic and even social positive outcomes as part of a long-range growth plan—from new jobs to the way it will enhance quality of life. Let everything flow from there.
From the Editor: Let BCONE know about your brewpub / micro-brewery success stories. We’d like to do events at brewpubs throughout the northeast region.
