Pandemic forces Deschutes Brewery to close Roanoke taproom

Published 3:41 pm Wednesday, October 20, 2021

Pandemic restrictions that have upended the economy and forced the closure of numerous Bend businesses have caused another casualty. This time it’s the Deschutes Brewery Tasting Room in Roanoke, Virginia.

Michael LaLonde, president and CEO of Deschutes Brewery, announced Wednesday that after four years of operation, Deschutes will not renew its lease for the taproom and will cease its operations at the end of the year.

The pandemic has laid waste to hundreds of pubs and restaurants across the country amid on-and-off lockdowns, supply chain disruptions and challenges in finding workers. Foot traffic to breweries and pubs has fallen off during the pandemic in many cities, hurting bottom lines and leading to closures.

“We have all seen the global pandemic significantly reduce traffic in all restaurants, pubs, and tasting rooms.The Roanoke tasting room is no exception,” LaLonde said on a call with reporters.

The Deschutes Brewery Tasting Room, opened in 2017, was located in a 4,700-foot-space in downtown Roanoke, a city with a population similar to Bend. The locally popular pub had more than 15 taps of Deschutes beer, along with growlers and brewery merchandise.

But the company experienced “significant financial loss” during the pandemic at the Roanoke location, more than its other locations, said Peter Skrbek, the company’s chief financial officer. Skrbek said traffic and visitation during the height of COVID-19 concerns at the Roanoke location were just 30% of normal.

Deschutes Brewery said it will continue to participate in community events in Roanoke with its local partner Blue Ridge Beverage. Deschutes said it will also work with current employees in Roanoke to try to find different jobs within Deschutes Brewery or with another company. Eight employees are affected by the taproom’s closure.

“This is not a goodbye from Deschutes to Roanoke at all. We have made a decision to adapt to the current business situation and make the best decision for our company,” said LaLonde.

In addition to the tasting room, the company had plans to open up a $95 million production facility that would employ 100 workers on a 49-acre site in Roanoke. Market challenges and competition forced Deschutes to push back its plans several times but the project never moved forward.

LaLonde said the company will hold on to the land it purchased in Roanoke so it can have the option to build an East Coast facility in the future.

“We are not saying never.We want to hold on to (the land) because we think it’s a great opportunity in the future and it makes a whole lot of sense at some point,” said LaLonde.

For now, LaLonde said there is no need for another facility because production in Bend is running at just 70% of capacity.

“Roanoke is a great transportation hub. It makes sense to be a hub in the East Coast, but it will be a while before we will even do that,” said LaLonde.

Deschutes Brewery maintains its full-service pub locations in Bend and Portland.

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