Brewery auction set for Jan. 15
By Brad Bauer, bbauer@mariettatimes.comFact Box
Marietta Brewing Company auction
When: 1 p.m. Friday, Jan. 15.
Where: First floor of the Washington County Courthouse.
Starting bid: $168,000, which is two-thirds of the appraised value.
Sale includes: The building, located at 167 Front St., and the brewing tanks at the front of the property. All other equipment and fixtures will be offered to the winning bidder for an additional $60,000.
The winning bid will require a $10,000 deposit the day of the sale.
The Marietta Brewing Company, a popular Front Street fixture until it recently shut down due to foreclosure, is set to be sold at public auction Jan. 15 at the Washington County Courthouse.
Attorney Jim Huggins, who is representing the lien holders in the case, said his office has received several telephone calls from interested buyers within the past few weeks.
"We've had two or three phone calls from legitimate entrepreneurs who are interested in reopening a business there," Huggins said. "Just based on the appraisal, which was lower than I expected, I think it's going to sell. I know we're all hopeful (the brewery) will reopen."
The starting bid for the property, located at 167 Front St., is set at $168,000, which is two-thirds of the appraised value.
Huggins said the sale includes the building and brewing tanks located at the front of the building. The remaining fixtures, equipment and inventory will be offered to the winning bidder for an additional $60,000, but that offer is subject to approval of other lien holders and Brewery owner Kevin Laughery.
"I think Kevin will agree with that amount; that's the appraisal we got," Huggins said. "He still owns the forks and everything else in the building, but still, the other lien holders could object to that amount. We would just hash that out."
The business, which employed 25 to 30 people, owes nearly $700,000 to several lenders and government agencies, court records show.
Of the amount, as much as $400,000 is owed in federal back taxes as well as $33,342 to the Ohio Department of Taxation and $15,368 to a food service company.
The state taxes that are owed interfered with the Brewing Company's state liquor license renewal, which was set to expire in October. The company was granted a one-month extension and then a stay that would enable the business to continue serving alcohol until its tax case was heard. The business ultimately closed Nov. 30.
Laughery could not be reached for comment Tuesday, but previously stated he hoped to negotiate a sale to prevent the business from closing.
Court records indicate the brewery went into bankruptcy in 2001 and again briefly in 2008. Failure to comply with the court orders out of the bankruptcy hearings and continued tax issues forced this month's sale, Huggins said.
The local unpaid real estate taxes will be paid first from the sale of the property, Huggins said. The lending institutions will be paid second and what's left over, if anything, would go toward state and federal taxes that are owed, Huggins said.
Local real estate taxes owed on the property total about $33,000.
It all means the liquor license, which isn't included in the sale of the business, isn't likely to be transferred easily to the new owner.
"It's not going to transfer unless the back sales tax and worker's compensation is paid," Huggins said. "From a collection standpoint, the state of Ohio is not going to allow a transfer of the liquor license with all the debt."
Matt Mullins, a spokesman with the Ohio Department of Commerce Department of Liquor Control, said a new owner should have no problem acquiring a license to make and sell mircobrews; however, getting other licenses to sell other beers, wines or spirits could be more difficult.
Mullins said a new buyer could pay off the past debt on the brewery license and attempt to transfer that license, attempt to "buy" or transfer a license from another defunct bar or apply for new permits. The problem is that the state has quotas, or limits, on the number of some types of liquor licenses.
"Still, there are ways to get permits, even if the quota is full," Mullins said.
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saintiaint
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01-07-10 12:24 AM
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which cell is kevin in? or did they forget failure to pay taxes gets you jail time not money from your scam
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IsaacEastwood
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01-06-10 9:01 PM
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I'd like to see it open back up... was a pretty good place/something different in town. I've actually modeled a lot of the new Locker Room after the Brewery (only a little more successful, probably because I have less overhead/less food)... in the meantime the 'sports bar' is coming back... 7 big screen led's and more on the way... now if we could just get food... oh wait... that's what took the Brewery under... who knows what's gonna happen with it, but I wish whoever ends up with it if they keep it a restaurant/bar the best of luck!
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surprised
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01-06-10 5:18 PM
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I don't think any kind of deal has been made, yet! I do know someone who was really thinking about buying it, but they thought the inside equiptment went with it. Now Kevin wants another $60,000 for the inside things(which he also owes money and they aren't going to release any of it until the bill is paid)) besides you can buy new in Columbus warehouse for less than that!! AND that doesn't even include the liquor license. If anyone on here thinks it will be easy to get a new license you had better think twice or read the liquor laws. It goes by the address also. Only so many in a town and until Kevin pays off his debt to the state, you won't get his, plus he would want more money!! Like the guy from the state liquor control said probably the taxes and liens would have to be paid off first, there's no guarantee as there are no defunct bars around here.
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asknot
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01-06-10 3:17 PM
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A deal was pretty much done at a much higher price than this! But they decided to wait till the bankruptcy was in place, to save some cash. And it looks like they will. Much like everything else, a liquor license isn't a big deal, you just have to know the right people, or grease the right wheels! If the guys get it, that I think will, it should be a relatively similar establishment, but with alot better food and service!
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thecutlerkid
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01-06-10 2:42 PM
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We have too many dive bars in this town and the Brewery was more upscale in its own way, I moved her from a big city and you cannot walk into any sports bar there on a sunday without it being packed. What this town need is big stores like Best Buy and other strip developments. These are the type of business's that pay taxes and alot of them which would benefit us all. If you try to keep this town as mom and pop central then you will see front street shut down in the future. I still do not know how some of these stores even keep their doors open! When you attract these larger business's in you will be able to hire more city workers such as Police and Fire. Let's face it you give Vienna all your money when you have to go to the mall and to the ones that say they never shop out of this town you are liars as you have done sort of spending across the river. Bring the Brewery back with a new menu and management!
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GOTOSCHOOL
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01-06-10 2:31 PM
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parrothead...do you dance?
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GOTOSCHOOL
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01-06-10 2:30 PM
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and maybe p*sta...
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Parrothead
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01-06-10 2:30 PM
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I believe that RRiver City is remodeling into a sportsbar complete with stage for live entertainment
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GOTOSCHOOL
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01-06-10 2:22 PM
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Sushi, burritos and Thai!!!
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wackycat
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01-06-10 1:53 PM
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A Thai restaurant would be awesome!!!!!!!!!
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HANSON
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01-06-10 1:35 PM
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it is really unimportant who takes the place of the brewery. what is important and being overlooked is no matter what business takes over this building poor management will cause a repeat of the same situation. some individuals operate a business to ultimately fail and some how walk away leaving the business bankrupt and their personal wealth benefits. you can see it and read about it everyday. too many times debt is left unpaid, while shrewd business people benefit. this unpaid debt has to be taken on by the state, federal, and/or local government. when this happens we the taxpayers are covering the unpaid debt. remember the government has no money to cover any debt, the money comes from the taxpayers. you and i. personally i am disgusted with bailing out failed businesses at the cost of the taxpayer while the owners and managers walk away with our money. we the people got burned in this failed business. failed business people should not be able to walk away from the residual debt.
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wjb331
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01-06-10 12:56 PM
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I doubt any investors would be interested unless they were pretty certain a liquor license could be obtained. There needs to be some assurance that Kevin will pay off his debts and help clear the way for this. I agree, mcprof, certainly no need for franchise restaurants, especially in downtown area. Put it back to basically what it was before it was (apparently) mis-managed.
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mcprof
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01-06-10 12:40 PM
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I've gotta disagree with mttamom on two counts. This town certainly doesn't need cookie-cutter restaurants like Red Lobster and Olive Garden. When I want to eat at one of those joints, I can drive to Vienna. Also, we actually have very few bars compared to most town of our size. On drug stores, I agree completely. How many places do we need to buy medicine, greeting cards, and candy bars?
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saintiaint
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01-06-10 11:21 AM
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price will be bid plus back taxes fed and state won t forgive easily. It will =no sale another vacancy and long term legal mess
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mttamom
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01-06-10 11:12 AM
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Wouldn't it be cool to see something like the old SS Kresge's Food place go in and that would perhaps also offer natural and/or organic made to order foods too? We have enough bars and small shops. Mtta. is like pretty much nothing other than bars, drug stores, car lots, be nice to see places like Olive Garden, Red Lobster.. or other well known stores in strip malls around here, instead we have to travel to WV-good for them and their economy I guess.
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thecutlerkid
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01-06-10 10:55 AM
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How about something like a Quaker steak and lube? That place should be a real sports bar/Brewery. It has so much potential and you need something down ther that will draw people in as I am sure the other local business owners would appreciate it as well. I'm sorry but this town is 10 years behind everywhere else in the state and this needs to stop! We need some kind of Draw to this area!
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Suncatchin
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01-06-10 10:36 AM
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the last thing we need is another second hand shop. hopefully they will try to keep with the integrity of what the brewery was...jukebox maybe, better food, place to watch sports? Would love to see a panninis here in town.
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GOTOSCHOOL
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01-06-10 9:58 AM
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it will sell...and folks will come...hopefully the owners will be...let's say...free thinkers...with a major league office staff...
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Lizard
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01-06-10 9:44 AM
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Maybe, if it doesn't sell at auction, it can sit and rot for awhile, like the Putnam Commons, and then someone can come along and buy it for $35,000. This 2/3 rule is certainly arbitrary. I think it should be bought and turned into a transportation hub. If we need one so bad, like people say about the Armory, here's a chance to get one going at a cheaper price!
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GOTOSCHOOL
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01-06-10 9:38 AM
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am thinking casual sushi, burritos and thai... less the math... with wine and beer and real bread... and maybe p**ta... ???
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GOTOSCHOOL
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01-06-10 9:35 AM
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am not good at math...
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GOTOSCHOOL
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01-06-10 9:16 AM
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doing the math..............
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