Brewery sold at auction

Sam Shawver, This e-mail address is being protected from spambots. You need JavaScript enabled to view it

POSTED: January 16, 2010

The Marietta Brewing Company was purchased by the property's lienholder for $268,000 during a public auction at the Washington County Courthouse Friday.

"I've been the lienholder for a number of years, and I'm just trying to protect my lien position," said local businessman Dave Broughton after submitting the winning bid and handing over a required $10,000 deposit on the property.

Broughton was among five people casting bids for the popular Front Street bar and restaurant. The bidding started at $168,000, about two-thirds of the $252,000 appraised value.

Asked if he had immediate plans for the facility, Broughton at first said no, but then added, "We will reopen it eventually."

Attorney Jim Huggins, who represented Broughton in the foreclosure case, said at least nine parties had contacted his office prior to the auction, and all nine had toured the facilities at 167 Front St.

"There was a lot of interest," he said.

The business, which employed 25 to 30 people, closed due to foreclosure on Nov. 30 because nearly $700,000 was owed to lenders and government agencies, including $400,000 in federal taxes, $33,342 in state taxes and another $15,368 to a food service company.

Earlier this month, Huggins said local unpaid real estate taxes, reportedly totaling $33,000, would be paid first out of the auction proceeds. Lenders would be next in line for payment, and anything left over would go toward state and federal taxes.

Following the auction, brewmaster Kelly Sauber, who produced house ales for the Marietta Brewing Company until it closed last fall, said he expects Broughton will want to reopen the facility as soon as possible.

Sauber also said he owns the banquet hall adjacent to the brewing company.

"I think Dave has plans to open back up, and would continue to lease the banquet hall," Sauber said, adding that he would likely return as the brewmaster.

"But there are still some issues to be addressed, including obtaining another liquor license, which could take some time," he said.

Sauber noted that it required two separate licenses to operate the brewing company, one allowing service of beer and liquor by the glass, and another allowing the manufacture of beer on the premises.

Because state taxes were owed, the business was prevented from renewing its liquor license, which expired in October. But the brewing company was allowed to continue selling alcohol until the tax case was heard.

Shana Woodford, who operates the H. Rietz & Co. Antiques and General Merchandise store next door to the Marietta Brewing Company, was happy to hear the business had been purchased.

"I'm glad for that, and hopefully they'll reopen and get business going again here soon," she said.