Micro brewer relocates to Sheboygan
The Port Washington Brewing Co., started as a brewpub in the De Rosa Corp.’s family of restaurants, is finally breaking away to its own location in Sheboygan. Brew master Jeff Kolar and his wife Teresa formed Kolar Kegging, Inc., and purchased the brewery formerly housed in 1,800 square feet of the Smith Bros. Fish Shanty restaurant in downtown Port Washington.
Kolar and the brewery were featured in the Feb. 16, 2001 Small Business Times cover story "Battling the Beer Barons." At the time of that article, Kolar was in negotiations to purchase the brewery, but complications stemming from the fact that the De Rosa Corp. sold Smith Brothers to another operator delayed the deal for more than a year.
"If it was just between the brewery owner and myself, it would have been done a year and a half ago," Kolar said of the brewery purchase. "But the restaurant owner had to sign off on it because of the way the lease was set up. It was looking pretty bad for a while."
The brewery’s tanks were removed from Smith Bros. on April 1 and Kolar said they would be installed within the week at the new facility at 132127 N. 14th St., Sheboygan.
The 55,000-square-foot facility in Sheboygan was built in 1905 for what was called Hand-knit Hosiery, Kolar said. The building later housed Wigwam Mills, but has been vacant for two to three years. It features Cream City brick — sand blasted by the new owners, 14-inch wooden beams and hardwood floors throughout.
The building will be renovated in phases. Kolar hopes to have the brewery up and running by mid-May, with the bar opening by August, and a kitchen that will serve quality pub fare by mid- to late-fall. Other phases include building a deck for a beer garden and installing a bottling system to bottle his highly requested root beer and hard-to-find seasonal beers like black cherry and dopplebock.
Kolar Kegging obtained an SBA loan of $525,000 through Community Bank & Trust in Sheboygan, as well as a development loan through the City of Sheboygan.
To date, Kolar has run the entire brewery as a one-man operation. He will hire at least two individuals to help in the brewing operation in the near future and estimates that he will add between 20-30 employees once the bar opens and an additional 20-25 employees when the food service starts.
As for the beer, Kolar Kegging will continue to produce the Port Washington Brewing Company’s flagship brands Pier 96 Lager, Amber Ale and Old Port Porter as well as the Port Washington Root Beer, but the company plans to significantly increase its marketing efforts to promote its products. Kolar re-designed the packaging more than a year ago, but wasn’t able to implement the changes due to the delay in the brewery’s purchase. He’s also looking into radio and TV spots, as well as increased point-of-sale displays.
"Now that it’s our business, we can spend the money doing it," he said. "Beforehand, I was never able to get the funding for any kind of programs like that."
The new packaging should hit store shelves sometime this summer.
Since the brewery is moving to Sheboygan "the brewery will be renamed to reflect the new local market and will add many new products to its list," according to a press release announcing the move. Several names are being considered, Kolar said.
The Port Washington beers and root beer are still featured in the Chancery restaurants and can be purchased at retail grocery stores like Pick ‘N Save and Sentry, as well as larger liquor stores like Grapes & Grain.
"The best thing people can do is just ask for it," Kolar said of retail sales.
For further information about the brewery and its products, contact Kolar at brewmstr@execpc.com
April 12, 2002 Small Business Times, Milwaukee
