The Makings of a “Brewery District”

Here is an astonishing stat: between 1985 and 2015, the number of craft breweries nationwide jumped from 27 to 4,225. The craft beer revolution has clearly made a meteoric ascent, and the formation of “brewery districts” is the main driver. 

This revolution, like many other urban economic phenomena, is highly clustered. And these clusters have historically taken shape in places that have been subject to disinvestment and deindustrialization. Depressed, formerly industrial areas with an awkward collection of teetering metal warehouses might sound unappealing to some. But breweries can fill this underserved space like a hand in a glove. Here are a few reasons why:

• Due the high equipment costs of starting a brewery operation, real estate needs to be affordable, so older warehouses fit the bill. The exterior may be bland, but on the inside, the massive shimmering steel tanks that hold the fermenting golden liquid indicate a more flavorful experience.
• Commercial-zoned areas in the middle of towns and cities tend to be close to large population bases and can be perceived as an interesting, hip destination.
• More square footage is crucial for showcasing product and eventually expanding operations. Parking is also typically abundant.
• Industrial sites are very well-suited for transporting beer with automatic roller doors and purpose-built office suites.