Saying Goodbye to Yellow Rose
What We Know
Back in July we were visiting another Houston-area distillery and saw barrels with Yellow Rose’s name on them. We weren’t in a position to discuss it, but we began asking our contacts what they knew. To our surprise, a story came together about the potential demise of the current oldest distillery in Houston. We were shocked, so we kept digging until we finally saw the official word from the Yellow Rose Experience Center itself in August. Or… several posts? The story felt like it was developing in real time.
By the week of August 18th it was official - Yellow Rose Distilling as we know it would be closing its doors. The Experience Center in Houston would be shuttered on the 24th, and production would be outsourced. Matt Appleby (CEO-Cluster Director: North America for Zamora Company, the company that owns Yellow Rose) was kind enough to respond to our request for a statement:
In Regards to Yellow Rose Distilling, we remain firmly committed to the Yellow Rose brand and we will continue to strongly support it in our portfolio of spirits and wines. However, despite its projected growth, we have determined that the size of the brand is still too small as to support a significant weight of fixed costs. It is in that framework that we have decided to outsource operations in order to adjust our cost structure to the scale of the brand.
For context, Zamora Company acquired an equity stake in Yellow Rose back in 2017. In the years since the brand has seen significant international distribution, added additional core products and limited releases, renovated its Houston-based Experience Center, and opened a full service bar with Texas Live.
The Yellow Rose brand is expected to continue, as Matt mentioned. Distillation is being outsourced to another Texas distillery (we can’t say which, but think about who has that capability and the list is pretty short). The Zamora Company remains committed to the quality of the product, so fans of the whiskey itself should continue to be happy in the years to come.
Jumping to today, we’re at the Yellow Rose Experience Center talking to the hospitality crew and visiting with other patrons. In a major brand announcement like this it is easy to lose sight of the individual people that are impacted. The news of their closing hit the local team hard, with all groups impacted either immediately this month (hospitality) or by the end of the year (distillation transition team). If you know someone connected to the Yellow Rose brand here in Houston then by 2025 there is a very slim chance that they still will be. That’s tough. The original closure date of August 31st was moved up to August 24th overnight. Even the paper sign on the door to the building still says August 31st is their last day.
What We Don’t Know
While the core product line is expected to carry on, we don’t yet know the fate of the future special releases that were in the works.
Michael Langan is the current Head of Distillery at Yellow Rose. We have been lucky enough to see him at events and get a few bottles signed by him at special distillery releases like the Outlaw Bourbon finished in Mezcal barrels. From his posts on social media and our interactions we are aware they he has several planned releases in various stages of finalization and review. Some of which may see a release as early as Fall 2024, but others may be lost completely. We had the opportunity to sample one potential release and it is a quality product that we would eagerly purchase. But with the cost savings of outsourcing also comes the loss of creative expression, and people like Michael and Houston Farris (the former Head Distiller at Yellow Rose) are the people that make distillation, aging, blending, and finishing magic happen. Without dedicated distillers for the brand we may not see anything new from Yellow Rose in the future. And that’s a shame.
We also don’t know what will be happening with the mysterious barrels we saw back in July at another Houston-area distillery. What were they planned for? Or are they part of the next steps for the brand? We won’t speculate, but will report back if we learn anything official. Also up for debate are the future of the look-and-feel of the products, the approach to distribution, their presence at whiskey events in Texas and elsewhere, and the hundred of other things that can be impacted by a core shakeup like this.
Broader Impacts
The Houston distillery scene feels more like it is changing than dying, though the losses of MKT in 2023 and now Yellow Rose in 2024 are a blow to the Texas Whiskey Trail as an organizing entity that is (in part) meant to highlight the uniqueness of Texas offerings at the state and national levels. We are looking forward to the introduction of new Houston-area distilleries like Drop of the Creator in 2024 or early 2025, the growth of other, smaller brands like Galveston Distilling Co, and the eventual reopening of Shire Distilling at some point in 2024. But the sudden closure of a Houston staple is jarring to us and everyone we talk to that covers and support Texas distilleries.
We mentioned that Yellow Rose as a brand will be continuing, with distillation outsourced to another Texas distillery (again, one we aren’t at liberty to disclose at this time). For fans outside of Texas there may be little impact in how they connect with and enjoy Yellow Rose products. Across the world people are enjoying a Texas whiskey because Zamora saw the potential in the brand and helped expand it internationally. But for our team in Houston, and other local fans, the impact is significant.
People make the experience. With all of the people we know gone, what is left that gives Yellow Rose meaning for us? It’s a tough question to sit with.
Saying Goodbye
I am writing this from the Yellow Rose Experience Center, sitting at the bar with a cocktail, listening to good music, and getting lost in conversations with great people. I didn’t make it here as much as I could have, and for that I feel a bit guilty. Morgan is my favorite hospitality crew member, and she is of course working today and spending time with me as we lament the end of a great thing in the name of reducing costs. I completely understand from a business standpoint. I’m at a loss for words from a relationships standpoint.
If you have a local distillery and tasting room near you then make sure you support them. Go to their events, pay for tours, buy bottles direct, try their cocktails and flights (while always drinking responsibly). I will miss Yellow Rose, as will the rest of their fans in Houston and beyond.
Cheers to the end of Houston’s oldest legal distillery, and the people that made it worth celebrating.
The Closing Lineup, 2024.
