Alexander Alusheff

Lansing State Journal

LANSING - Sleepwalker Spirits and Ale is eyeing a return to Lansing's craft beer scene.

The microbrewery signed a letter of intent to operate out of 1101 S. Washington St. in REO Town near Good Truckin' Diner. It could open sometime in spring 2017.

"Getting open is important to me," said owner Jeremy Sprague. "I'm sick of not being open."

Sleepwalker opened in 2014 inside the Allen Market Place at 1611 E. Kalamazoo St. It planned to expand from its 200 square-foot taproom into a storefront on the same block this fall, but the business went on hiatus this August when co-founder Matt Jason decided to leave the company.

Since then, Sprague had been working to reopen the business.

He decided to open in REO Town because of the clout Sleepwalker already had in the area, having served beer at neighborhood events such as Art Attack and the Thrift Store Gala.

"I've been pressing them to open in REO Town," said Ryan Wert, executive director of the REO Town Commercial Association. "This will help develop the entertainment district."

Wert will be an owner of the building Sleepwalker moves into. His company, Super Fancy Enterprises LLC, will close on the property next month. It is currently owned by Preservation Nonprofit Housing Corp.

He said Sleepwalker's commitment to moving in will help secure financing to buy and renovate the building. Renovations could be complete by March.

When the microbrewery opens in the 1,650-square-foot space, it will have 14 beers on tap. It will also serve pizza and sandwiches.

Sprague said it could cost up to $150,000 to open in the space. He will continue to seek community investors as before but he will also pursue a traditional bank loan to cover the project.

"To be in REO Town is exciting," Sprague said. "Sleepwalker could be dead on the table. I could not let it go."

Alexander Alusheff is a reporter at the Lansing State Journal. Contact him at (517) 388-5973 or aalusheff@lsj.com. Follow him on Twitter @alexalusheff.