Marc Bona, Features writer, cleveland.com talked to Bill about Cleveland Beer-Restaurant News - What forced R. Shea Brewing to close? Financial storm catches up with Akron brewery - The Brew Kettle plans March opening in Brunswick - Cleveland Orchestra announces 2024 Blossom schedule
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What forced R. Shea Brewing to close? Financial storm catches up with Akron brewery
AKRON, Ohio – Bad timing, financial challenges and shifting market conditions swirled together to force Ron Shea into a corner he could not get out of.
The confluence of those forces led to Shea’s announcement Saturday afternoon that he is closing both of R. Shea Brewing’s Akron locations. The last day of operations is Sunday, March 3.
The decision comes after he launched a crowd-funding venture last year to stave off potential closure. He posted a heartfelt explanation laying out the reasons on the brewery’s Facebook post, and in an interview with cleveland.com he said after crunching the numbers, the decision was inevitable.
“It was unavoidable for a while,” he said.
“I thought it could be saved. We were in the market for eight years, had a great following. I thought numerically, with the people in the far reaches of Ohio distribution, that it could work. After we had our town-hall meeting with those questions, and after the GoFundMe with some of the responses of people, I think why it did not work was the average craft-beer drinker had no idea that this was going on in the industry and continues.”
“It” amounts to a double-edged sword thrust at Shea: Mounting financial concerns were exacerbated by a post-Covid economic climate as well as what he deems a “seismic shift” in the marketplace.
“It’s a shift in the market,” he said. “We saw the decline in craft beer beginning in 2022 to 2023. We were down 30 to 40 percent and also down this year. But combined with that it was still all the effects of Covid that are still high, like inflation in every respect.”
In October, Shea could see the financial storm brewing on the horizon. It did nothing but gain speed toward him.
How Shea came to this position can be traced in large part to loans. In 2015, Shea opened his original brewpub in a small Merriman Valley strip mall. It quickly gained a reputation as a comfortable place to hang out in an immediate area without a local craft brewery, and it did well – well enough that four years in he expanded, to a large, cavernous industrial space in Canal Place in Akron. It boasted an atrium-style design with enough elbow room, a full kitchen and plenty of space to accommodate growth while being located closed to the heart of downtown and near the University of Akron.
It wasn’t a small step up; it was a leap, from a 3.5-barrel system on Merriman Road to a 20-barrel system in the massive, 56,000-square foot space.
Shea kept his eye on both the business and brewing sides of craft beer. Several years ago, local lawmakers toured a trio of Akron-area breweries as a way to glean up-close examples of economic development and growth resulting from craft breweries. Emilia Strong Sykes led the informational mission to hear about the effect on businesses that could result from then Gov. John Kasich’s proposed tax increases on beer and wine.
When they walked into the Merriman Valley location, Shea was ready. He wasn’t just going to show off shiny fermenters. He was armed with a five-page outline opposing the increases, making an impassioned plea.
Shea never lost that passion. But last October, he held a town-hall meeting and laid out a doom-and-gloom scenario. He needed to raise money to keep the brewery afloat. Interest on Small Business Administration loans had inched up to 11 percent from his initial deal in 2018, when it was around 7 percent, he said.
The numbers look small, but they translate to thousands of dollars more Shea had to come up with – per month - to keep things going. But the reality is craft breweries are not large airline companies that can ink a new deal for more planes. People can buy only so many pints of beer and plates of appetizers. So he launched a GoFundMe effort, which fell short of its goal.
The other part of the equation is the marketplace itself. Sober-minded consumers and a generation shifting to ready-to-drink cocktails and other beverages cut away at craft brewing’s market share as well as shelf space. According to 2022 statistics from the Brewers Association, the U.S. independent brewers’ beer market share was 13.2%. That means the macro breweries – the Millers, Bud and Coors of the beer world – maintain a huge slice of the brewing pie.
In his Facebook post, Shea wrote: “People’s drinking habits are changing fast, we are no longer getting the early twenty somethings consuming beer as their gateway alcoholic drink. Craft beer is getting bypassed altogether with all of the new post-Covid non-beer options on the shelf where craft beer used to be. A seismic shift is happening within the industry.”
Also in his social post, Shea said when he barely made the Jan. 12 payroll for his 50-plus employees, he knew the end was near.
“This industry is the most challenging that it’s ever been,” he wrote. “We have been fighting interest rate inflation, wage inflation, material inflation, steep declines in distribution and now declines in taproom sales. We can’t fight anymore. We are completely out of ammunition. There is nothing left. Our Canal Place expansion was the right place, wrong time.”
In two weeks, the beer will cease flowing at the original location, at 1662 Merriman Road, and at Canal Place, 520 S. Main St. The question: Will the brewery be the sole one to shut down in 2024 as the pandemic’s residual effects continue to seep through or is R. Shea’s closure an anomaly?
Northeast Ohio has seen both ends of the craft-brewing see-saw recently. In addition to R. Shea’s struggles, Terrestrial Brewing in Cleveland filed for bankruptcy protection before the end of 2023. But The Brew Kettle has been expanding on its own and via acquisitions.
Shea believes his case will serve as an unfortunate harbinger.
“When we started seeing our January numbers we were, ‘Oh my gosh, what is going on?’ I mean, there’s dry January. We were just going year-vs.-year hoping to stay flat. But we were hitting 40 percent down, 30 percent down, both taprooms. I talked to several owners of other NEO breweries just to see if ‘Is this just a me thing or is there something else?’ It was the same thing, the same type of numbers with the people I talked to.
“I believe there is going to be more.”
John Najeway, who owns Thirsty Dog Brewing Co. in Akron, said his phone started blowing up the second Shea announced the news.
Thirsty Dog is Summit County’s first brewery, and Najeway – a venerable presence in the craft-brewing scene - has seen every high and low in more than a quarter-century of being in the beer business. Thirsty Dog was founded on Dressler Road in Canton in 1997, then opened in Copley Township in Summit County in 1998. It’s now located downtown with tap house, sour haus and large production facility.
“I think as any industry matures you see consolidation and cyclical stuff,” he said. “You see it not only with craft but with the big breweries into the ’70s that we were down to like 40 breweries in the U.S. and then a huge growth that never really stopped. It did a couple of hiccups in the late ’90s and then, boom. Especially in Ohio, from 40 breweries to 450 breweries in a decade, there’s going to be some losses, some consolidation. It’s sad because there’s a lot of good beer being made.
“I read Ron’s post, and I agree with him. This industry is built on passion, and it’s passionate brewers and passionate entrepreneurs that have us where we are at today that we all get to enjoy such unique and diverse selections of beer. Hopefully we’ll weather this storm with some good consolidations and mergers and switches and continue on as a strong state in the craft-beer industry, I think.”
The Ohio Craft Brewers Association, which lobbies on behalf of the state’s breweries, had no comment about R. Shea’s announcement.
Shea, for his part, is staying as hopeful as possible.
“The past eight years I have learned a lot in the industry,” he said. “I started brewing in the valley with a little bit of management. As Canal Place came on board I started taking a step back from brewing and was pretty much full-on management, finances, all that stuff. I’ve actually built myself a pretty good resume. It would be silly for me to exit the industry. I think I’ve got a lot to offer as a head-of-operations type of individual.”
Shea is going down to the final drops from the taps. R. Shea Brewing’s last menu change will occur Wednesday, Feb. 21, when eight new barrel-aged beers will be available on draft and in bombers.
Shea closed his Facebook post: “I wanted all of this to turn out very differently for everyone but things have a way of snowballing at the very end - especially when one is still getting thrown curve balls.”
The Brew Kettle plans March opening in Brunswick
BRUNSWICK, Ohio – The Brew Kettle is continuing its busy path of brewing expansion and planning to open in Brunswick in March.
The location on Center Road (Ohio 303) sits four miles to the west of Interstate 71 in a strip mall anchored by Discount Drug Mart at the southeast corner of Center and Marks roads. The Brew Kettle is going into the old Riverstone Taverne and also expanding into additional space behind Great Scott’s Bakery & Coffee, owner Bryan Weber said.
“We’re on the far, far west side of Brunswick,” he said. “When you think about that part of Medina, Valley City, Grafton - there’s a lot of people who come from the west into Brunswick, and I think this is going to be well-received in the area.”
He said they are gutting the location and planning Topgolf simulator along with a state-of-the-art indoor Engage virtual shooting range. The amenities give folks the chance to actively do a few things in addition to being in a brewpub.
“Unfortunately, in Northeast Ohio, there are plenty of months out of the year when the weather isn’t that great,” he said.
The spot will have all new kitchen equipment, and artisan Rob Zacharias of Zacharias Milling in Valley City built a live-edge bar top from white Oak.
“He did an amazing job on it,” Weber said.
Weber and his team have been busy of late. In January, they bought Lock 15 Brewing Co. in Akron. They also took over Canton Brewing Co. while maintaining locations in Amherst, Canton (at the Hall of Fame Village, with Topgolf), Hudson, Mentor and the original in Strongsville.
“Each one of our pubs is a little different,” Weber said. “Obviously, Canton Hall of Fame is a very sports-branded theme. Strongsville is really old-school brewpub décor, a lot of really cool, older art (items). Brunswick is going to be really unique in what it is. The only thing in common will be great beer and great food.
“We’re not a corporate-owned company where every single store is identical. That’s not the message here. Local communities have different demographics and different tastes. We try to create something that is very unique and comfortable for each community we’re in.”
Cleveland Orchestra announces 2024 Blossom schedule with 2 big movie nights, Leslie Odom Jr. & more
UYAHOGA FALLS, Ohio – The Cleveland Orchestra’s 2024 Blossom Music Festival will include the debut of Leslie Odom Jr., a pair of movie nights, the traditional Salute to America, classical performances and guest musicians.
The annual season runs Saturday, June 29, to Sunday, Sept. 1, at Blossom Music Center, the orchestra’s summer home in the Cuyahoga Valley National Park. Tickets go on sale at 10 a.m. Monday, Feb. 19 via clevelandorchestra.com.
It’s a good mix, with classical composers mixed in with a diverse group of singers and performers along the way.
Grammy award–winning singer and actor Leslie Odom Jr. – known for his role as the original Aaron Burr in “Hamilton” – will make his Blossom debut. Banjo player Béla Fleck also is slated to perform.
A pair of movie nights are scheduled, which feature a full-length film accompanied by a simultaneous live orchestral underscore.
Related coverage: Cleveland Orchestra announces two movie presentations for 2024 Blossom Music Festival
The Akron Symphony Orchestra will perform Cirque Goes Broadway, combining Broadway hits with aerialists, contortionists and other performers.
The 200-acre music park features the pavilion, which seats more than 5,000 people under cover, and the lawn, which accommodates as many as 15,000 on an expansive natural-bowl amphitheater of grass. Lawn seating beckons for picnics.
Related coverage: Cleveland Orchestra at Blossom Music Center: 27 ways to picnic like a pro, what to take, what to leave at home
Admission
• For tickets, go to clevelandorchestra.com or contact Severance Music Center ticket office at boxoffice@clevelandorchestra.com or 216-231-1111.
• The Under 18s Free program offers two lawn vouchers for children 17 and under with each regular-priced adult ticket purchased.
• Lawn ticket books are applicable for most Blossom Music Festival concerts. The books include 10 adult vouchers, 20 Under 18s vouchers and two upgrade passes for $200.
Cleveland Orchestra 2024 Blossom Music Festival schedule
Programs, artists and prices are subject to change. Shows begin at 7 p.m. unless noted.
Saturday, June 29, and Sunday, June 30
Sarah Hicks, conductor
Movie Night Live: “Raiders of the Lost Ark in Concert”
8 p.m. Wednesday, July 3
Loras John Schissel, conductor
Salute to America: Blossom Festival Band, with post-performance fireworks
Saturday, July 6
Brett Mitchell, conductor Béla Fleck, banjo (Blossom Music Festival debut)
Rhapsody in Blue
Bernstein: Three Dance Episodes from On the Town Gershwin: Rhapsody in Blue (trans. Fleck) Barber: Overture to The School for Scandal Still: Symphony No. 1, “Afro-American”
Saturday, July 13
Domingo Hindoyan, conductor (Cleveland Orchestra debut) Michael Sachs, trumpet Rachmaninoff’s Third Symphony
Blossom Festival Chorus
Borodin: Polovtsian Dances from Prince Igor Arutiunian: Trumpet Concerto (Cleveland Orchestra premiere)
Saturday, July 20
Antonello Manacorda, conductor (Cleveland Orchestra debut) Christian Tetzlaff, violin
Tetzlaff Plays Mozart
Mendelssohn: Overture to A Midsummer Night’s Dream Mozart: Violin Concerto No. 5, “Turkish” Beethoven: Symphony No. 7
Sunday, July 21
Leslie Odom Jr., vocals (Cleveland Orchestra debut)
An Evening with Leslie Odom Jr.
Note: The pre-concert Blossom Summer Soirée special fundraising event also takes place.
Saturday, July 27
Hannu Lintu, conductor Mark Kosower, cello With the Kent Blossom Chamber Orchestra
Shostakovich’s Fifth Symphony
Sibelius: Lemminkäinen’s Return Walton: Cello Concerto Shostakovich: Symphony No. 5
Friday, Aug. 2; Saturday, Aug. 3; Sunday, Aug. 4
Ludwig Wicki, conductor
Blossom Festival Chorus The Cleveland Orchestra Children’s Chorus Movie Night Live: “The Lord of the Rings: The Return of the King”
Saturday, Aug. 17
Franz Welser-Möst, conductor Víkingur Ólafsson, piano (Blossom Music Festival debut)
Tchaikovsky’s Fifth Symphony
R. Schumann: Piano Concerto Tchaikovsky: Symphony No. 5
Sunday, Aug. 25
Singer-pianist-songwriter Tony DeSare, vocals Blossom Festival Band without Cleveland Orchestra
Sinatra and Beyond
Saturday, Aug. 31 and Sunday, Sept. 1
Cirque de la Symphonie Akron Symphony Orchestra without Cleveland Orchestra Lucas Waldin, conductor Morgan James, vocals Hugh Panaro, vocals
Cirque Goes Broadway