The craft-brewing industry is in a state of flux, forcing companies within it to reexamine their business models and, in the case of larger operations, alter them in order to thrive or, in some cases survive. Larger operations such as Stone Brewing, Green Flash Brewing and Karl Strauss Brewing have all had to adjust course as consumer preferences shift to smaller, local, independent breweries, and active consumer demographics begin to skew toward younger factions, many of which have only ever drunk craft beer. It’s to be expected of interests that are among the country’s 50 largest brewing companies. Though it is considerably smaller and, at its heart still a family-run business, Coronado Brewing Company has been quite vigilant over the past several years, keeping an eye on the rapidly changing market and making moves to weather an uncertain storm. The latest of those moves includes today’s announcement that CBC will purchase East Village-based brand Monkey Paw Brewing. Owner Scot Blair‘s other businesses, South Park Brewing and Hamiltons Tavern, are not part of the deal.
Blair has had lofty aspirations for his beer-making business since opening it in 2011, but was not satisfied with progress toward increased production and distribution. He examined a number of options for meeting those goals, including acquisition, but says he wouldn’t have sold to just anybody. A stalwart figure within the craft-beer world for more than a decade, Blair knows the industry and the individuals within it, and says it was his long-standing respect for and friendship with CBC owners Ron and Rick Chapman that distinguished this as the right move for him and his business. Another key factor is control. Blair has a vision for Monkey Paw and its beers, and will remain intimately involved with the brand, focusing solely on beer—conceptualization and growth of the entire portfolio.
This deal is reminiscent of Green Flash’s 2014 acquisition of Alpine Beer Company. That move allowed for increased production of Alpine beers at Green Flash’s much-larger brewing facilities. Likewise, Monkey Paw, which produced less than 700 barrels last year, will now have the majority of its beers produced at CBC’s Bay Park headquarters, while still making beer on the 15-barrel system at its East Village pub. CBC began brewing its beers at that site—affectionately referred to as “Knoxville” for the street it occupies—in 2013, a year after taking over the 14,000-square-foot property. Since then, it has taken over several other buildings bordering the brewery, creating a rather impressive cul-de-sac campus. CBC is also in the process of installing a kitchen at Knoxville to increase the draw of its tasting room. This is particularly important with the impending arrival of a satellite tasting room from Benchmark Brewing Company and a new brewery, Deft Brewing Company, slated for arrival in Bay Park this year.
CBC is also changing up its game in the southerly municipality of Imperial Beach. The company opened a bar and restaurant there in 2014, and recently signed on to construct a 7,500-square-foot brewpub at the upcoming Bikeway Village on Florence Street. This will increase brewing capacity in a more high-profile location not far from CBC’s original brewpub on its namesake island. Meanwhile, CBC has ceased distribution to certain states, strategically tightening things up to better compete in the marketplace and maximize profits and expenditures.
And two months ago, the company announced the Chapmans’ investment in SouthNorte Brewing Company, a new venture headed by CBC head brewer Ryan Brooks. That operation, basically a CBC offshoot or sub-brand, will meld the brewing cultures of Baja California and Southern California, but there’s more to that fermentation fusion than mere ingenuity. An MO like that figures to appeal to demographics CBC does not currently reach in as great a quantity as they would like. Ditto Monkey Paw’s liquid wares, which skew to a younger demographic more interested in locavorianism, that likely wishes to support an edgier brand versus a company that recently celebrated its 21st anniversary. While this acquisition (which is set to be completed by September) may seem odd to those not paying attention, a look at CBC’s recent body of work where business-model adjustment is concerned shows the logic behind it and how it fits into a large and intricate puzzle.
Drink beer and eat food…a perfect pairing. Such is the equation for ideal connoisseurship outlined by Coronado Brewing Company COO Kasey Chapman. It’s proven successful at the company’s original island brewpub and Imperial Beach satellite bar-and-restaurant, and soon will be called into service at its headquarters on Knoxville Street in Bay Park. CBC is in the process of installing a kitchen to service the tasting room at that production facility, the largest of its properties.
While mobile food vendors have done a good job for CBC, they are looking forward to providing a consistent food option for tasting room patrons. They believe being able to rely on that constant amenity will encourage customers to stick around longer rather than leave in search of edible sustenance.
The kitchen will be 1,000 square feet and outfitted with countertop cooking equipment as well as a double-decker pizza oven. Those mechanisms will be used to produce casual fare that will include, pizzas, calzones, panini sandwiches, wraps, salads and an assortment of appetizers. Beer will be incorporated into select dishes, but that will not be a focus of the menu.
The project has taken longer than expected, but is expected to be completed by August. Next up for the Bay Park tasting room will be installing additional seating. Even after that, it will retain its identity as a sampling space rather than take on a restaurant feel. Counter service and delivery care of food runners will make up day-to-day operations, and CBC is looking forward to holding special events such as beer brunches and barbecues.
This is the last of a four-part series of posts noting some of the most promising future brewing projects currently under construction in San Diego County. So far, we’ve tackled the eastern, western and northern communities. Today, we’ll delve into the southerly portions of the county, where a great deal is going on of late.
TapRoom Beer Co., University Heights: Earlier this month, news broke that former AleSmith Brewing and Mikkeller Brewing San Diego brewer Bill Batten had signed on to help the owners of SD TapRoom bring a two-story brewpub concept to life on El Cajon Boulevard. Brewing and restaurant experience plus a shared devotion to local beer make this a project to watch. Batten plans to brew a mix of traditional and avant-garde beers.
Click here to read more about this project
Thr3e Punk Ales Brewing Co., Chula Vista: This business started out borrowing beer space from Finest Made Ales before securing a three-story building in the heart of the downtown Village area. A rock-themed tasting room will have stainless steel vessels jutting up from the basement and serve beers that, leading up to this point, have been well received by local craft-beer enthusiasts, all with a view of cross-street neighbors Chula Vista Brewery.
Click here to read more about this project
Coronado Brewing Co., Imperial Beach: CBC opened Imperial Beach’s first brewery-owned venue in 2014, but it’s about to upgrade after securing one of two twin buildings at the upcoming Bikeway Village. In addition to installing a brewpub with a 10-barrel brewhouse, distilling is also in the plans. While the project is under construction, CBC will setup a temporary outdoor tasting room accessible by a rotating fleet of mobile food vendors.
Click here to read more about this project
Winners of the San Diego International Beer Festival’s professional brewing competition were released today. A component of the San Diego County Fair’s annual festivities, the competition included entries from across the globe judged by professional beer judges and Southern California brewing professionals in late-April. A total of 68 medals were awarded to San Diego-based breweries. Of that number, 23 were gold, 21 were silver and 24 were bronze.
San Diego breweries won all three medals in eight categories: American-style Red/Amber Ale, Bitter, Bold Stout, Brett and Other Sour Beer, German-style Ale, German-style Weiss, Imperial Stout and Pilsener. Miramar-based AleSmith Brewing Company once again took home Champion Brewery honors behind three medals—a gold and silver in the same category (one of which was awarded to a Scotch ale) and a gold in the Barley Wine category.
The most local medals went to Pizza Port. That brewpub’s Carlsbad brewpub also won a gold and two silvers. Its Ocean Beach arm won two (one gold, one bronze) and Bressi Ranch production brewery earned a silver. The most medals awarded to a single brewery went to San Marcos’ Rip Current Brewing Company and less-than-a-year-old North Park interest Eppig Brewing. Both of those companies earned a gold, silver and two bronzes. San Marcos’ The Lost Abbey and South Park Brewing Company earned three medals apiece, as well. Also impressive was Rip Current winning two of three medals in the German-style Bock category.
The following is a complete list of the winners from this years SDIBF…
The three-day public beer-fest portion of the SDIBF will take place at the Del Mar Fairgrounds, Friday, June 16 through Sunday, June 18. Tickets and information can be found online.
From the Beer Writer: For me, one of the most fun, non-alcohol-related aspects of beer-culture is how the taste, or even the mere mention of a beer can transport me to a specific moment. When I first heard that Coronado Brewing Company was releasing bottles of a whiskey barrel-aged version of a stout originally brewed for Bottlecraft’s 3rd Anniversary, I instantly remembered the first time I tasted it. I was at Embarcadero Marina Park North for a beer festival. As often happens at such affairs, I had the pleasure of conversing with numerous industry friends and colleagues. A number of those individuals referenced a beer crafted to taste like a popular dessert, German chocolate cake, lauding it as a “must-try”. When I finally came across the beer at Coronado’s tent, I eagerly consumed my sample. Fortified with chocolate malt and toasted coconut, it did right by its namesake. So I was glad to see it resurface with a touch of spirits-soaked oakiness added to the equation along with bold vanilla-character that enhances this beer’s likeness to its edible inspiration. Like its predecessor, Coronado Barrel-Aged German Chocolate Cake does not disappoint. But one has to take it quite a bit easier with this version, as it chimes in at 9% alcohol-by-volume, lest they find themselves unable to remember the first time they tasted it due to the brain-erasing power of imperial beer.
From the Brewer: “The original German Chocolate Cake was a beer that we had brewed a few years ago. I liked the beer, but this time around, while preparing to create a barrel-aged version, I wanted to make the beer with a much fuller body. I mashed the beer at 160 degrees Fahrenheit, and we only brewed 20 barrels in a 30-barrel batch, so I only collected the strong wort runnings. After fermentation, I added 200 pounds of coconut that our head-chef, Kasey Chapman, hand-toasted at our original Coronado Island brewpub. I also added 100 pounds of cacao nibs before blending with beer that had been aged in whiskey barrels we procured from Smooth Ambler Spirits in West Virginia.”—Ryan Brooks, Brewmaster, Coronado Brewing Company