Somerville Brewing Company, which makes Slumbrew beers, files for Ch. 11 bankruptcy protection
Somerville Brewing Co., which is behind the sequel to Slumbrew Beersfiled for Chapter 11 bankruptcy protection and is seeking an emergency hearing on Wednesday, according to recent court documents.
In the emergency motion for a hearing filed on September 27, the brewery said the recent construction of a consumption hall in Assembly Row had caused “cash shortages” and that the company had fallen behind in terms of rent here. The company’s flagship brewery is located at 15 Ward Street in Somerville.
Overall, Somerville Brewing Co. owes more than $1.2 million to creditors with liens on its properties, according to the filing.
The company is seeking a judge’s approval to use its cash and equipment so it can continue to operate while reorganizing its business affairs, according to the filing.
If the company does not receive a favorable decision on Wednesday, the result would be “immediate and irreparable harm to the estate,” the filing said.
“If it is not permitted to use these products, it shall close its operations immediately without paying its employees and without replacing any of its inventory and other materials necessary for its operation,” the filing said. The company has 63 employees – 19 full-time and 44 part-time, according to the filing.
Somerville Brewing Co. tried to refinance its debt, but was unsuccessful, according to the filing. In addition, the brewery attempted to restructure its rent debt with its landlord in the Assembly, but the landlord refused and instead “indicated that he intended to take the steps provided for in the lease with respect to default,” the motion reads.
Somerville Brewing Co. hopes to continue operating its Location of 15 Ward Street and the American Fresh Brewery bar and restaurant in Assembly Row, as well as continuing to distribute its beer products, according to the filing.
A brewery representative reached by phone Monday afternoon declined to comment. A lawyer representing the company could not immediately be reached.
However, the company’s owners confirmed on Twitter on Monday that both locations were still open and encouraged customers to try their beers.
Slumbrew’s first three beers – an India Pale Ale, a Hefeweizen and a Porter – were released in late 2011. It was called one of Boston’s “hottest” new craft beers in a short time. after in a Boston Globe Beer Review.
News of Slumbrew’s financial troubles follows Chelsea’s popular Mystic Brewery announcing that he would pour his last drink October 19.
On the other side of the craft beer coin, Trillium representatives recently stated that it is preparing to soon open a new standalone bar near the Time Out Market food hall in the Fenway.
Travis Andersen, Jon Chesto and Sean Smyth of Globe staff contributed to this report.