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Acclaimed New Jersey Distillery Leaves Newark for New York Amid State Regulatory Struggles

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Award-Winning Newark Distillery Relocates to New York as NJ Craft Industry Pushes for Reform

the staff of the Ridgewood blog

NEWARK, N.J. — After nearly a decade of producing award-winning whiskey, gin, rum, and vodka in Newark’s Ironbound neighborhood, All Points West Distillery is closing its New Jersey operations. Founder Gil Spaier and business partner Kate Zuckerman announced plans to relocate the business to Kingston, New York, citing New Jersey’s restrictive regulatory landscape.


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Strict Regulations Stifle Local Craft Distillers

New Jersey craft distillers face significant growth hurdles compared to neighboring states. Despite national shifts in consumer habits and wholesale distribution consolidation, Garden State operators remain strictly regulated:

  • Tasting Room Restrictions: New Jersey prohibits craft distilleries from serving food or offering local craft beer and wine.

  • Direct-to-Consumer Limits: Distillers cannot ship spirits directly to consumers—a policy distillers call crucial for survival in a shrinking wholesale market.

  • Distribution Challenges: Out-of-state distribution requires navigating an increasingly consolidated distributor network dominated by major brands.

“If you don’t invest in that kind of communal space, you’re not going to survive,” said co-owner Kate Zuckerman. “We can’t survive in the wholesale market.”


Why New York Is Attracting NJ Distilleries

In contrast to New Jersey, New York state offers a far more favorable environment for craft beverage producers:

  • Direct Shipping Permitted: New York permanently legalized direct-to-consumer spirits shipping in 2024.

  • On-Site Dining: Distilleries can operate full kitchens and serve local beer and wine alongside their spirits.

  • Production Tax Credits: New York provides production-volume tax credits to help local distillers offset high operational costs.

With its move to Kingston in the Hudson Valley, All Points West plans to take full advantage of these laws by opening a dedicated kitchen and tasting room space.


Legislative Inaction in Trenton

While New Jersey recently legalized permanent takeout cocktails and eased certain rules for craft breweries, pending bills to allow direct-to-consumer spirits shipping and expanded tasting room privileges remain stalled in Trenton. Industry leaders, including New Jersey Craft Distillers Guild President John Granata, continue urging state lawmakers to modernize rules before more small businesses are forced to leave.

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Tags / Topic Entities: All Points West Distillery Newark NJ Kingston NY Craft Spirits New Jersey Economy Small Business News Liquor Laws

 

1 thought on “Acclaimed New Jersey Distillery Leaves Newark for New York Amid State Regulatory Struggles

  1. What a surprise, NJ pushing away successful businesses.

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