Just read this article:
Is there no way to build some kind of “micro” winery to meet the rule? An extreme example would be something like a small home kit, they make one small wine on premise for like 10 cases, then viola! they are a winery and can have a tasting room? Obviously this isn’t possible or everyone would have done it already. The rule does seem to punish small producers for sure.
Interesting read. I was thinking that similar to these producers using a shared crush facility, why not band together and open a shared tasting room. Something downtown with some staff pouring the wines, private rooms for bigger clients/private meetings, and multiple wineries represented. I think that’s something that would interest some visitors. You’d get learn about some smaller wineries that you’d otherwise miss, and get to taste a few different producers without driving all over the place.
Yes. If five to ten wineries opened a tasting room in some non-Agricultural place (like Napa (can it be Oakville, Rutherford, St. Helena?)), maybe each owner could have a family member man the tasting room once a week or so - then no staff would have to be hired.
I feel for these guys.
Zoning is a nightmare for wineries across CA. Winemaking is classified as alcohol manufacturing. This means it demands the highest and most industrial category of zoning pretty much everywhere. Here in Los Angeles County, that’s the M3-zoning, equal to heavy industry. So, a winery needs the same zoning as a petroleum refinery or heavy metal processing plant… Hmm. You can deviate from that zoning requirement if you get a Conditional Use Permit. That costs $8-10K to apply for, takes about 6 months and there’s no guarantee it will be approved. On top of that Dept of Health has numerous requirements you also ned to comply with, like drains, separators, sinks etc.
Imagine now if you sign a 2 year lease on a property needing CUP. 6 months down the line, you’re out $10K in CUP fee’s, and then get rejected. What do you do? Walk away?
$5 million to build a winery?
I looked into this in France. The wine from my 28 acres is made at the local cooperative, which has custom crush capabilities, but I was curious.
To build on land I already owned, with a test drill indicating water was available not too far down, my total cost, including all winery equipment (a couple of concrete tanks and fiberglass for smaller lots, but no wood or stainless steel) was going to cost me about EUR 300,000, or about $340,000 at today’s exchange rates.
Can anybody explain where the $5M comes from, or goes to? It seems like both the vineyard owner and the county planning people agreed on the number.
Dan Kravitz
Re: Jeff and Howard’s suggestion, that would be a nice way for someone new to the wineries to easily sample several small places at once, and could keep costs down a bit for the wineries.
As a visitor, though, I’d much prefer to visit the actual small producer at their vineyard, talk to them personally, and spend some time getting to know them and their approach to winemaking. That kind of personal connection is so much more appealing to me, regardless how many times I’ve walked vineyards.
Probably $4.66MM of California permit fees 
I would think a shared tasting room would be good, but who wants someone else pouring your wine? No one is going to tell the story of the winery like those that make it…
Shared tasting rooms don’t work. They’ve tried them all over Napa and most are shuttered. For me they’re the equivalent of going to an industry tasting, there still has to be at least one shared employee on site, rent, permits, travel time…
For the small farmer/producer the ability to host guests in the barn or in your home on the vineyard property helps create the experience for the customer and build the relationship that’s so important for a small business. Napa had good intentions with their ordinance but it overshoots the mark. They’re so worried about tourist traffic increases due to these small tastings? How many does your average farmer/producer host in a week? 1-3 if that? 2-4 person tasting.
Napa Wine Co.? Didn’t they have, or still have, a tasting bar?
Which is all well and good for the serious wine geek. That’s not how it works for most tourists.
I’m sure you’re right, David. I’m curious how many of those casual tourists visiting collective tasting rooms become regular buyers, though.
I guess it becomes a question of the best way a small winery thinks they can build their business, and what sustains their existence over time. Maybe it’s a stream of new folks through the collective tasting room door. Maybe it’s the ongoing customers who enjoy a more direct connection. I really don’t know. I’d be curious to hear from some of the smaller winery owners.
I doubt that casual tourists would even go to a collective tasting room for the most part.
I’d much rather prefer a sit down tasting at the winery than a tasting room in the city. Probably one of my favorite tastings this year was in Tom Altemus’ home at Red Cap. That one on one time and attention got him a nice order and a customer for a long time to come.
Admittedly, I have zero experience related to this, and only came up with that as a casual thought while reading this article. Taking in your comments, I totally agree that meeting the proprietor on the site would be more exciting and likely lead to more sales. Hopefully these small wineries find some success with adapting the regulations in a smart way.