So, what’s going on with Flagstaff’s craft brewing market?
Lumberyard was recognized in May for its Railhead Red in the Extra Special Bitter Beer category. Railhead Red is known for its rich, red color with moderate hops and a full-bodied flavor. The name pays homage to Flagstaff’s railroad history.
“We take immense pride in this recognition and are proud to represent Flagstaff and Arizona,” said Gene Almquist, Lumberyard director of brewing.
The prestigious World Beer Cup included 8,375 entries from 49 countries with 349 awards.
Lumberyard’s silver award is just the latest honor for Flagstaff’s craft breweries. Flagstaff’s self-proclaimed moniker of Arizona’s Leading Craft Beer City is gaining credence and national attention at a time when the industry faces challenges.
Nationally, the Brewers Association reports craft beer volume sales declined 3.9% last year from 9,700 U.S. craft breweries.
So, what’s going on with Flagstaff’s craft brewing market?
“I’m still trying to figure that out myself,” said Adam Harrington.
He’s a former Mother Road lead brewer who now runs High Altitude Home Brew Supply in East Flagstaff and Harrington’s Tap House with 19 taps of local brews, hard cider, meads, wine and Arizona Sake from Holbrook.
“I think a new generation coming into their ability to drink is trending away from beer or at least traditional beer-flavored beer,” he said.
They are drinking hard cider, hard seltzer, mead, non-alcohol, or NA, beer and “beers that taste like smoothies,” Harrington said.
Bart Watson, CEO of the Brewers Association, said “sour, fruity, tart and juicy are the styles that can connect us to the next generation of drinkers.”
Local brewers are adapting to market trends.
“Flagstaff brewers are good about innovating, good about that customer experience whether it’s us, Historic, Mother Road or Flag Brew,” said Kevin Wilson, Lumberyard sales director and Arizona Craft Brewers Guild board member. “We all have different propositions that we bring to the customer. It’s a great beer town, a good scene.”
Wilson is optimistic about brewery business this summer, despite concerns about an expected decline in international visitors.
Dylan Prater, Mother Road director of hospitality, said business was slow in the tap room in January and February because snow and winter visitors were scarce.
“Everything for us is looking good,” he said of the prime summer season. “We had a big graduation weekend.”
“The only hesitation right now – the question is what is international tourism going to look like with all that’s going in the political world?”
Price increases for grains and aluminum for cans are other concerns.
Still, Flagstaff brewers can count on desert dwellers to escape to Flagstaff for cooler air and cold beer as summer temperatures rise.
It doesn’t hurt that Flagstaff’s craft breweries are drawing attention beyond Arizona.
In February, San Diego Beer News profiled Flagstaff’s eight craft brewers, six of them within walking distance of each other on the city’s popular Brewery Trail. Beer News touted Flagstaff’s “established beer culture and dynamic breweries [that give] the City of Seven Wonders an eighth marvel to lure thirsty tourists.”
Last summer, Chicago-based C+R Research ranked Flagstaff No. 20 in a list of cities with the most craft breweries per capita. The top three were Portland, Maine; Asheville, North Carolina; and Bend, Oregon.
Flagstaff’s eight breweries include Beaver Street and Flagstaff Brewing, which launched the city’s craft beer scene in 1994.
The other downtown and South Side brew pubs are Mother Road, Lumberyard, Dark Sky and Historic.
Grand Canyon Brewing + Distillery is on South Milton Road, with its main brewery in Williams.
Wanderlust Brewing Co. is in the Sunnyside neighborhood. Historic Brewing Co. has its brewery and taproom on the far east side and brew pubs on South San Francisco Street and in Williams.
Flagstaff’s eight breweries produced 4.98 million gallons of beer in the past five years, according to the Arizona Department of Liquor. That’s equivalent to 623,190 pints of craft beer.
It’s been a healthy recovery from the COVID-19 slowdown in 2020.
Mother Road was the No. 1 local brewer, with 2.73 million gallons produced from 2020-24. Its craft beer production increased 12.7% in 2024 from the previous year.
Mother Road’s key brand is Tower Station, which accounts for 75% of its production at its Butler Avenue brewery. About 70% of its revenue stream comes from brewery production and 30% from the tap room on Mikes Pike, Prater said.
Mother Road is Arizona’s third largest independent craft brewer behind San Tan Brewing Co. and Huss Brewing Co., both in metro Phoenix. Arizona has 127 craft brewers, ranking 25th among the states, according to the Brewers Association.
Lumberyard increased its production 7.36% last year, to 144,446 gallons, while Beaver Street, its sister brewery, was stable at 15,447 gallons.
Historic Brewing production last year was up 3.5%, to 74,517 gallons.
With craft beer sales trending down, Mother Road has launched a non-craft beer, a golden ale that is 4.5% alcohol by volume. It’s an effort to appeal to beer drinkers in sports bars and dive bars, Prater said.
The new brand is Double 6 American Beer, which is “a play on Route 66 without having to get into all the trademark issues,” Prater said.
In 2017, Lodestar Anstalt, based in Liechtenstein, sued the Route 66 Junkyard Brewery in Grants, New Mexico. Lodestar, which brewed beer in Wisconsin, alleged a trademark violation of its right to the Route 66 name and highway shield. It’s now called Junkyard on 66 Brewery.
In another innovation, Mother Road has set up a joint venture with Noble Herb LLC. Mother Road is brewing a non-alcohol pale ale infused with a small dose of THC that Noble Herb can sell in its Arizona dispensaries, Prater said.
“The big thing for us right now is we’re preparing for the Route 66 centennial in 2026,” Prater said.
Mother Road plans to release a centennial ale, or “Centenni-Ale,” early next year. FBN
By Peter Corbett, FBN
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