Why this $9 million Washington brewpub is still not finished three years later

WASHINGTON (25News Now) - After three years of waiting so far, Washington’s city government is giving more money to a highly anticipated brewpub in the downtown square, despite the contractors being more than a year behind on the project.

Back in 2021, CL Real Estate Development (CLRED) announced the $9 million project, Tangled Roots Craft Beer & Kitchen, which includes an event space, restaurant, and a rooftop bar.

Construction began in 2023, but it has not yet been completed.

The City of Washington’s planning and development director, Jon Oliphant, said the developers said getting a switch gear to power the building has been the root issue. He said the developers have been waiting for the part to be delivered for more than a year, which is needed to do much of the work inside the building.

The contractor for the project said since there’s no power right now, they’re utilizing power from a nearby business.

“Most notably, it impacts their ability to have the building heated, which doesn’t allow them to finish all the interior finishing,” Oliphant said.

To date, Oliphant said the city has approved $650,000 in Tax Increment Financing (TIF) for the project.

The contract with the city outlines that the project was supposed to be completed by Dec. 1, 2023.

During Monday’s city council meeting, the majority of the council voted to make a $51,000 payment to the developers for interest costs incurred in 2023 and 2024. Oliphant said the city is obligated to pay up to $305,000 in interest reimbursement, according to the agreement.

Ward 4 Alderman John Blundy said he is fully supportive of the project but wanted to defer the payment to CLRED.

“What I am concerned about is that we continue to make payments without the brewpub being completed,” Blundy said. “In my eyes, I guess I’d say we missed out on a full year of sales tax revenue that was supposed to be generated between Dec. 1, 2023, and today.”

Oliphant said the city’s TIF fund has less than $500,000 in it right now. Once Tangled Roots opens, he said the fund will grow.

According to Oliphant, there has not been a lot of interest from other developers and businesses to use TIF money, but he anticipates more demand in the near future.

25News went to the location in person and spoke with the contractor on site. The contractor then referred us to his boss.

25News emailed them and asked them for more details on the delays and when Tangled Roots will open, but they did not reply before this story was published.

Oliphant said the city remains optimistic about the project because it’s not every day that a developer wants to invest in a project like this in an older, established downtown.

“While we do have a significant investment from a strict TIF dollar standpoint, our percentage of the overall project is fairly minimal. There is a significant private investment being made,” Oliphant said.

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