E-Malt.com News article: USA, GA: Jailhouse Brewing optimistic about locating in McDonough

With plans for expanding its growing business, Jailhouse Brewing Co. is optimistic about its intent to locate in McDonough, Henry Herald reported on October 22.

“We are very excited to come to McDonough and make this work,” said owner Glenn Golden.

The six-year-old brewery operates from an old jailhouse in downtown Hampton, but Golden said the company has been unsuccessful at finding adequate and affordable space for expansion there.

For more than two years, Hampton officials say that they have been trying to work to accommodate Jailhouse’s needs.

“They are very much an asset to Hampton,” said Mayor Pro Tem Mary Ann Mitcham. “It’s a destination. In a little town like Hampton, we depend on destination.”

Though Golden said he would have preferred to expand in Hampton, the city wanted more money for a prospective property than they were willing to pay. The company was interested in the old public works building on Tom Eason Drive.

“We tried to figure out ways to stay in Hampton,” he said. “We have been partial to Hampton. We couldn’t get a deal with the city. They want more money for the property than we’re looking to pay.”

Mitcham said that the company wanted to pay less than the fair market value for the property.

“We have to get fair market value,” she said. “We can’t let property go that belongs to the city and the citizens for less than market value. But it’s the only property we own that would accommodate their needs.”

Golden said the company had looked into expanding in other nearby cities, including Fayetteville and Griffin, but in March purchased property at Ga. 42 and Harkins Street in McDonough.

Golden said he’s been in talks with McDonough for over a year and is working with the McDonough Downtown Development Authority in putting together a deal.

In a previous Henry Herald article, it was reported that the City of McDonough would loan the DDA $800,000 that the DDA would then loan a prospective business for rehabilitating a building.

Hampton Mayor Steve Hutchison said the city did not have money to put up like McDonough was able to, which was what Golden was looking for.

According to the Jailhouse proposal to the city of Hampton, the brewery was “seeking a partnership with the City for the City to finance the property to the Brewery as a means of keeping upfront capital costs low for the Brewery and long-term gain for the City an attractive incentive.”

“They’ve (McDonough’s) got more money than we do,” said Hutchison. “They were able to offer money for the financing. I can’t compete with a big city. We’re just a small city.”

If the company moves to the McDonough location, it would provide about 23,000-square feet of space, compared to the 2,000-square feet the business is using in Hampton, Golden said.

With the increase in space, Golden said the company would be able to expand product offerings, with the potential to have a touring and tasting facility, and also offer more outdoor activities.

It is undetermined whether the Hampton location will remain in business, should the McDonough deal go through.

“It’s up in the air right now,” he said. “We’ll have to see how far our budget goes to see if we could maintain both.”


23 October, 2015