× Expand Nicola Ferrarese

Hillsboro, population 1,417, is located on the eastern end of Vernon County in the state’s scenic Driftless region. As with many of the state’s small towns, Hillsboro has had challenges attracting and retaining businesses, residents and tourists. Although it’s on the way to Wildcat Mountain State Park and departure points for tubing and canoeing on the Kickapoo River, it hasn’t offered many reasons for travelers to stop or stay.

But Hillsboro is among a growing list of Wisconsin communities that are using craft breweries to leverage interest in their town and to create — or re-create — a sense of community among full-time residents.

“Instead of driving through town, people are now stopping — and the brewery is the primary reason,” says Adam Sonntag, city administrator for the city of Hillsboro.

The Hillsboro Brewing Company is a good example of how beer and a community’s sense of itself are intertwined. The original Hillsboro Brewery opened in 1870 as the Carl Ludwig and Joseph Landsinger Brewery. It eventually closed (with the name Hillsboro Brewing) in 1943. Since then, local memories of the brewery have faded.

× Expand Hillsboro Brewing Co.

Snapper and Kim Verbsky wanted to bring back that important part of the town history. Snapper is a Hillsboro native and his family has lived in the area for five generations. His wife, Kim, has lived in the area for over two decades and owns an assisted care facility in Hillsboro. Snapper, who owns a construction company, had been restoring historic businesses. In 2012, the couple purchased two vacant buildings in downtown Hillsboro and transformed one into the Hillsboro Brewing Company Pub; the other housed a small brewing system.

The new brewery gained a reputation as a beer destination and the Verbskys saw expansion as inevitable. In 2018 they completed restoration of another old building, the former Carnation Milk factory, built in the early 1900s, and moved their brewing operation there. This much larger space accommodates a 15-barrel brewing system. The Verbskys are in the process of moving the restaurant there; the new site will also have event space.

The rise of Hillsboro Brewing created greater visibility for others, says Sonntag. “It’s a draw to the area and we’re now a destination for visitors, many of whom stay overnight because of our rural location.”

Hillsboro has seen a handful of younger residents starting new businesses, which Sonntag attributes at least in part to the brewery’s success. Clark Powersport, a fitness gym, a hair salon and the Hillsboro Drive-In are all run by owners under the age of 30, a highly sought-after age group because they represent long-term investment in the community’s economy.

“Some of this may seem pretty small, but when you put it into the context that Hillsboro is only 1,450 people it’s pretty remarkable,” says Snapper.

“I like the fact that my wife and I are providing jobs. It’s important to me because the community has given so much to us over the years.”

The Hillsboro Brewery employs about 20 people with an annual payroll of $300,000. Across all of their businesses the Verbskys support 47 employees. “We’re proud that we support a lot of families in Hillsboro with jobs and health insurance,” says Snapper.

In reality, a thriving local economy depends on more than a brewery. But Hillsboro is just one of the small towns across the state that is discovering that a brewery — a business that requires a substantial investment, employs area residents, produces a product that is inexpensive yet brings people together, and, perhaps most importantly, can convince other potential small business owners that a town’s main street is worth taking a chance on — can be the start of a bigger revitalization.

× Expand Design Photography Inc. Potosi has attracted more tourists with its National Brewery Museum within the brewery.

If there’s one Wisconsin town where beer has been the savior, it’s Potosi, population 670. The original Potosi Brewery operated from 1852 to 1972 (except during Prohibition). The brewery then sat abandoned for nearly 30 years, slowly deteriorating to ruins. In the early 2000s, residents took it upon themselves to bring the Potosi Brewery back to life. “Almost everybody in the community either had family members who worked there or knew someone who did,” says Dave Fritz, president of the Potosi Brewery Foundation.

By 2008 a handful of local residents had raised over $3 million that would be combined with additional state and federal grants to restore the brewery. That effort returned Main Street’s most identifiable landmark. “There would be nothing going on in the south end of Potosi without the brewery,” says Fritz. “It’s the difference between schools being here and people residing in the community.”

The brewery has continued to grow. In 2015 it opened a new production facility. Today it’s the town’s largest employer with 65 employees.

The addition of the National Brewery Museum (a collection of memorabilia and “breweriana collectibles”) within the brewery and its being named a Great River Road Interpretative Center means that Potosi has become “a tourism target,” says Fritz. The Potosi Brewery Saloon, dating back to the 1850s, was remodeled in 2014, the old bottling plant has become the gallery/showroom for Gary David Woodworking and Design, and Pine Point Lodge, one of Potosi main hotels, is expanding. Fritz says he’s noticed more listings on Airbnb for the area.

Breweries are “a great way to fill empty downtown spaces,” says Errin Welty, who focuses on downtown development for the Wisconsin Economic Development Corporation (WEDC). “They’re bigger uses than many other businesses, and they come with capital investment and jobs.”

Welty says that breweries are “in the top things that communities look for most.”

“There is a trend,” she adds. Having a brewery, a wine bar and a coffee shop is sometimes seen as the trifecta in the community development game.

Breweries appeal to a wide demographic. “This is not just a millennial thing,” says Welty. “Small communities see breweries as a family-friendly business. Lots of people feel comfortable bringing their kids and hanging out. They appeal to all ages.”

The American Brewers Association tracks the number of breweries nationwide; as of 2017, Wisconsin had 160 craft breweries, double the number from 2012. According to the Association those breweries generated over $2 billion for Wisconsin in total economic impact. That’s a big reason that WEDC is working with local communities to design incentive packages that include grants and loans to help small communities attract small breweries.

WEDC’s Community Development Investment (CDI) grants are a major tool, used by both breweries and municipalities (funds can go to cities and/or breweries) to fund a brewery. For instance, Earth Rider Brewery of Superior received a $109,877 CDI grant to help redevelop an old beer distribution warehouse and Thirsty Pagan Brewing, also of Superior, received a $148,415 CDI grant to help renovate an historic freight depot into a brewpub. When Vintage Brewing opened its $6 million brewpub in Sauk City a little more than a year ago, the village received a $250,000 CDI grant used for public infrastructure improvements (utilities, roads and sidewalks adjacent to the brewery). Those investments were essential to making the project happen, says co-owner Trent Kramer.

Beyond the CDI grants, WEDC offers facade improvement grants, historic preservation tax credits, and technical assistance through its Main Street and Connect Communities programs.

× Expand Robin Shepard Cercis Brewing was funded in part through city and county loans.

But opening a brewery can cost well over $1 million, and funding has to be assembled from various sources. At the local level, both cities and counties may have revolving loan funds to assist breweries. Kurt and Keith Benzine, Randy Sunde and Tyler Walker renovated a near century-old building in downtown Columbus to open Cercis Brewing, a 3.5 barrel brew house, last May. About $160,000 of the $500,000 cost was covered by revolving loan funds from the city and Columbia County. “If we had not received that loan, we would not be open,” says Walker.

The brewpub is part of the plan to revitalize Columbus’s downtown. Improvements have been made to James Street, the main thoroughfare, to ease traffic and welcome pedestrians. Cercis’ owners were “among the first property owners to make substantial renovations,” says Matt Schreiber, director of planning and development for Columbus. “It’s started a trend, and since then we’ve seen other owner-occupied businesses making large investments.” Among them are James Street Pizza Co. and Fast Lanes, a bowling alley and pub, which opened in 2018 after renovating a bowling alley that had closed in 2015.

In Waunakee, The Lone Girl Brewing Company will celebrate its third year in business this June. The $2 million brewpub has been central in a rebirth of activity downtown. “The Lone Girl was a driving force for change,” says Gary Herzberg, longtime member of the Waunakee Village Board. “We were like many small towns that had a downtown that was dying off.”

Having a brewpub means Waunakee residents don’t have to drive into Middleton or Madison for a pint and dinner. And it’s much more than just another restaurant, says Herzberg. “Breweries bring new excitement. They make a vibrant downtown and bring people to the center of the community.”

Kevin Abercrombie, who owns The Lone Girl, has noticed increased traffic to neighboring businesses. “People may come here for a beer and then go next door or across the street.” Nearby businesses include the Red Barn Company Store, a gift and home furnishings shop, and the Ecco Salon, a spa and hair salon.

Red Barn owner Vicky Marsala says the brewery is an anchor in the village. “It’s definitely a draw; we’re complementary to each other,” says Marsala. “It’s the type of business that people remember. The brewery helps us be a place that people will come back to.”

× Expand Robin Shepard The Lone Girl keeps residents busy in Waunakee, without needing to drive to Madison or Middleton.

Abercrombie’s contributions to the Waunakee economy include employing 75-100 persons, most of whom live in the Waunakee area, ranging from high schoolers to seniors. Abercrombie estimates that his brewpub produced more than $3.5 million in economic activity for Waunakee in 2018, based on sales and employee payroll, property and excise taxes, the purchase of brewing and restaurant supplies, and services for the brewpub.

The Lone Girl’s impact doesn’t stop there. Like many breweries, it contributes to the community through gifts and donations. Last year the brewpub donated more than $30,000 in charitable contributions to nonprofit organizations, the majority within a 30-mile radius of Waunakee.

And The Lone Girl has just embarked on a $400,000 expansion to increase its event space and add a new pilot brewing system for experimental and small batch brews.

Another community that’s betting on brewing to invigorate its downtown is Beaver Dam. The Ooga Brewing Company is expected to open in early May on South Spring Street.

Beaver Dam residents Ruth and Jim Metz, founders of Animart, are the driving force behind Ooga.

“This has been a great place to raise our family and grow our business,” says Ruth Metz.

Animart is a dairy cow health and production supply company that helps farmers with everything from hoof health to reproduction and milk quality. Animart also operates several pet supply stores in Wisconsin. Its corporate headquarters in Beaver Dam employs more than 100 persons.

× Expand Ooga Brewing Co. A local business, Carriage House Works, made the wooden bar top for Ooga, a Beaver Dam brewery slated to open in early May.

But the Metzes were “having problems attracting and retaining employees and part of that was the condition of our downtown,” says Metz.

As the Metzes were stepping away from the day-to-day operations of the business a few years ago, they became more engaged in Beaver Dam’s revitalization efforts. The couple attended civic meetings and focus groups. The Downtown Business Association conducted a survey that identified a brewery among the top three ideas that would help Beaver Dam’s downtown.

The Metzes decided that’s where they could help. They purchased a 1930s building that had been an auto sales and repair shop and set about renovating it. They also bought a seven-barrel brewing system and hired brewery staff; they will turn over day-to-day operations to them. Their business plan calls for 8-10 employees with an annual business payroll of around $150,000 a year. It will also contribute to the city’s property tax base by doubling the value of what had been a vacant building. Renovations have kept Westfall Masonry of Beaver Dam busy. Vintage decorators Carriage House Works, also of Beaver Dam, are designing the space and crafted the bar top out of salvaged wood.

Ooga received a $126,000 grant from WEDC, and the city of Beaver Dam committed $500,000 to raze a nearby vacant building, improve adjacent streets and alleys, and upgrade lighting — beyond just around the brewery. “We now have people coming to the city and looking at [developing] other projects,” says Beaver Dam mayor Rebecca Glewen. Also in the works: a $3 million restoration of the city’s community theater as part of the city’s redevelopment plan.

Glewen envisions Beaver Dam as becoming a stop for craft beer pilgrims, all part of the larger comprehensive strategy for revitalization. “This will be the start of something that can be a real draw for us.”