Knoxville’s Craft Beer Scene Welcomes Xul Beer Co.

News Summary

Xul Beer Co. is expanding its footprint in Knoxville’s craft beer scene by acquiring the former Fanatic Brewing Co. facility. Owner Marty Velas is stepping back after a decade, paving the way for Xul’s growth. With plans to double production capacity and maintain a focus on innovative brews, Xul aims to make a significant impact in the local market. The acquisition includes potential for greater output and new brewing opportunities, all while maintaining the legacy of the Fanatic brand. Excitement blooms as Knoxville’s beer culture prepares for fresh beginnings.

Exciting Changes on the Horizon for Knoxville’s Brewing Scene!

Knoxville is brewing up something big! The local beer scene is about to get a refreshing shake-up with the announcement that Xul Beer Co. will be acquiring the 14,000-square-foot facility of Fanatic Brewing Co.. Can you believe that? This move comes as Fanatic’s owner, Marty Velas, looks to step away from the biz after a fruitful decade of brewing.

What’s Brewing at Fanatic?

For those who may not know, Marty Velas has been a staple in the brewing community since way back in 1978. After 10 years at the helm of Fanatic Brewing, Velas decided it was time to pass the torch. Despite his hopes for a local buyer, solid offers just didn’t materialize. So, he expanded his search beyond Tennessee, and that’s how Xul Beer Co. came into the picture.

New Beginnings for Xul

Xul co-owners, Brad West and the Thacker duo, Seth and Tara, saw an opportunity when they expressed interest last December. Now, with the deal set to close by March 2024, Xul is gearing up to make some major moves. With plans to double their production capacity, they’re aiming to go from a modest 5,200 barrels in 2024 to a whopping 10,000 barrels after the transition to the Fanatic facility.

Room to Grow

The Fanatic Brewing facility has room for even more growth, boasting the potential to churn out 30,000 barrels a year—that could mean around 450,000 cases of beer! Currently, Fanatic only uses about a fifth of that capacity, producing around 6,000 barrels per year.

What’s on Tap?

Xul Beer has exciting plans for its new home! They will brew their entire lineup of sour beers and their popular Toro Y Oso Mexican Lager, with the recently established Passenger brand focusing on traditional beer styles. Many Knoxville residents are eager to see how Xul, known for its celebrated PB&J Mixtape sour—an absolute fan-favorite that takes inspiration from Uncrustables—will continue to innovate.

The Fanatic Facility Finds a New Lease on Life

The sale price for the Fanatic facility has hit a sweet spot at $2.8 million, with Velas noting it could support a much grander $5 million operation. Xul Beer Co. has already made strides by self-distributing within Knox County and expanding its reach statewide and beyond into Florida and Pennsylvania.

A Taste of Recognition

It’s not just about volume; Xul has made a name for itself with awards and recognition. They took home a prestigious Gold Award at the 2022 World Beer Cup for their Rhymes Like Dimes IPA. On top of that, their new Kill the Lights Beer Festival, launched just last year, has been nominated for accolades including a spot in the USA TODAY 10Best awards, finishing No. 4 in a recent poll. Quite the achievement in such a short span!

Looking Ahead

As for Velas, he isn’t disappearing completely! Following the sale, he plans to stay connected to the brewing world as a consultant. This will allow him to share his wealth of knowledge and passion with the new team, ensuring that the spirit of Fanatic Brewing carries on.

Beyond the Horizon

But wait, there’s more! Xul is not just stopping here; they’re also revamping their current location on East Fifth Avenue and enhancing their outdoor patio. So, if you’re a fan of good brews and great vibes, keep your eyes peeled as Knoxville’s beer scene gets ready to rise and shine!

Here’s to new beginnings, exciting brews, and the expanding landscape of Knoxville’s craft beer culture!

Deeper Dive: News & Info About This Topic

• Knox News: Xul Beer Co. Acquires Fanatic Brewing Facility
• WBIR: Xul Beer Company Expanding at Fanatic Brewing Property
• MSN: Fanatic Brewing Facility Now Belongs to Xul
• Knox News: Fanatic Brewing Company Still for Sale in Knoxville
• Wikipedia: Craft Brewing