From Brownfields to Breweries

How Delaware Is Revitalizing Through Redevelopment

By

Tyler Williams

March 24, 2023 8:29PM EST

The Environmental Protection Agency estimates there are over 450,000 brownfield sites in the United States. While most see 450,000 places where people may be exposed to contaminated soil, air, and water, a few visionary leaders in Delaware saw a creative way to boost their economy through craft beer.

In Wilmington, Delaware, state officials launched several efforts to revitalize decaying brownfield sites, including one at the former location of the Delaware Chemical Engineering Company. The property was completely abandoned in 2000 and fell into disrepair. In 2006, the state began cleaning up the site, and since 2018, it has been home to Wilmington Brew Works, a beautiful brewery and restaurant. The facility’s developers were able to pair the building’s traditional look with its new use by maintaining its Spanish colonial-style façade.

Image courtesy of John Fusco and Wilmington Brew Works

“They did a wonderful job on that building,” he said. “What was almost a drain on our economy is just so vibrant. It’s really a credit to that whole part of the city,” said Wilmington Mayor Mike Purzyck to the Delaware Business Times.

“Brownfields giving rise to the craft beverage industry in Delaware has become a theme for the state both environmentally and economically,” Delaware Department of Natural Resources and

Environmental Control (DNREC) Secretary Shawn M. Garvin told the EPA in an article highlighting successful brownfield projects. “Redeveloping brownfields into breweries and craft distilleries has become a popular way of launching vibrant and sustainable new businesses in Delaware.”

Image courtesy of John Fusco and Wilmington Brew Works

Several other breweries in the state of Delaware sit on former brownfield sites, including Dogfish Head Brewery, one of the most successful breweries in the United States. According to the EPA, breweries are a good fit for brownfield site redevelopment because they are usually in former industrial areas with the existing infrastructure that breweries need.

In terms of the Wilmington Brew Works location, in the Ninth Ward area of Wilmington, an area that traditionally hasn’t seen a great deal of commercial development, Mayor Purzycki told Delaware Online, “That side of town could use a real positive statement from an investor/operator and it sounds like a perfect solution to energizing the commercial district there.”

However, revitalizing brownfields comes at a high cost. As a result, Delaware’s Brownfields Development Program provides funding to help developers restore these sites. State funds cover cleanup and preparation of the site before redevelopment, as well as liability protection for the new owner and operator of the property. This makes revitalizing these decaying properties financially feasible for developers.

For example, the state government spent over $3 million to clean up the former Delaware Chemical Engineering Company site before the developer began construction on the property. Cleanup crews removed 19 tons of hazardous building debris, 3,700 tons of hazardous waste and contaminated soil, and about 25,000 gallons of chromium-contaminated groundwater.

Other government assistance for the project included $42,000 in federal funding from U.S. EPA brownfields grants that paid for property assessment, $55,000 for maintenance and infrastructure installation from the city of Wilmington, and another $250,000 from the city as a low-interest loan to the developer.

More Federal Dollars for Brownfield Redevelopment*

The federal infrastructure bill in 2022 earmarked a record $1.5 billion in new funding for brownfield cleanups and revitalization. The increase in federal dollars will enable local governments to revitalize decaying properties and lots, serving as a significant economic boost for cities.

The EPA, which administers federal brownfield funding, provides six different types of grants for brownfield revitalization projects. Federal funding will help states and cities cover site assessment and clean-up of these properties, as well as community outreach and job training for residents in areas impacted by brownfields.

With increased federal funding, state and local governments can redevelop more brownfields, which are disproportionately situated in poor neighborhoods. By revitalizing these decaying sites, municipalities can improve their poorest citizens’ health and quality of life, provide a facelift to dilapidated neighborhoods, and stimulate much-needed economic expansion and job growth.