Five Carolina breweries have closed or announced closures in the past six weeks. Sycamore Brewing shuttered its Charlotte South End taproom in early January. Edward Teach Brewing served its last pint in Wilmington in mid-February. BearWaters Brewing bid farewell to its Canton location at the end of the month. Then, in the first week of March, Steel Hands Brewing closed its Greensboro taproom without warning, and MOBA Beer in Leland announced it would pour its final beers by March 7. The Carolinas' craft beer scene, long celebrated as one of the strongest in the South, is navigating a painful period of consolidation. Brewers are on guard—watching costs, rethinking locations, and adapting to a market where closures have outpaced openings nationwide. This article examines the recent closures, the forces behind them, and how Carolina brewers are responding.
The Closures: A Six-Week Timeline
Sycamore Brewing (Charlotte) — January 5, 2026
Sycamore Brewing closed its South End taproom on January 5, 2026, following the December 2025 arrest of co-founder Justin Brigham. Owner Sarah Taylor announced the closure as necessary for "processing and healing," removed Brigham from the business, filed for divorce, and stated the brewery would not assist in his legal defense. Restaurants, retailers, and Charlotte Douglas International Airport dropped Sycamore's products in the wake of the arrest. Rather than a permanent exit, the brewery is rebranding: it legally changed its name to Club West Brewing in January 2026 and plans to reopen in spring under the motto "Beer. Redefined." For now, the South End taproom is closed, and the Sycamore brand has effectively left the market.
Edward Teach Brewing (Wilmington) — February 15, 2026
Edward Teach Brewing closed permanently on February 15, 2026, after eight years in Wilmington. The brewery planned a final celebration on its last day. The closure followed a turbulent period: former owner Gary Sholar was arrested and charged with assault in August 2025, and state regulators canceled the brewery's ABC permits due to unpaid fees. Ownership had shifted to a trust controlled by Sholar's sister before the closure announcement. Edward Teach had been a fixture of Wilmington's craft beer scene, named for the pirate Blackbeard (Edward Teach), who once operated off the North Carolina coast.
BearWaters Brewing (Canton) — February 28, 2026
BearWaters Brewing closed its Canton riverside location on February 28, 2026, after 15 years. The brewery was unable to recover from a second major flood—Hurricane Helene devastated Haywood County in 2024, heavily damaging the Canton taproom. Co-owners Kevin Sandefur and Art O'Neil decided to consolidate operations into the BearWaters Creekside Bistro in Maggie Valley, the company's strongest-performing location. The Canton brewery threw a farewell party on its last day, featuring music by the Darren Nicholson Band. BearWaters will continue operating the Maggie Valley bistro, which offers food from multiple kitchens including grill favorites, steaks, Thai food, and artisan flatbreads—but it will no longer produce beer at the Canton site.
Steel Hands Brewing (Greensboro) — March 5, 2026
Steel Hands Brewing closed its Greensboro location on West Gate City Boulevard abruptly on Wednesday, March 5, 2026—with no advance warning to customers. Notices appeared on the doors; 15 employees, including General Manager Brandon Goodwin, were affected. All scheduled events were canceled. Goodwin cited the location and a sustained dip in sales as the primary reasons for shutting down. "I'm fearful for this day and age. In this economy no one can afford not to have a job," he told WFMY News 2. The closure reflects broader challenges facing downtown Greensboro small businesses: fewer customers, rising costs, and economic sustainability. Steel Hands, based in Cayce, South Carolina, continues to operate its flagship location there.
MOBA Beer (Leland) — March 7, 2026
MOBA Beer—the Museum of Beer & Art—closed in Leland during the first week of March 2026. The concept had opened in August 2025 at 9600 Ploof Road in the former Mannkind Brewing Company space, combining art and beer. Owners Jason "Foz" Fosdick (host of "Foz in the Morning" on Z107.5), Carl Cross of The Half, and Matt Ray of The Starling and The Ibis announced it would be the last week for the Leland taproom. "MOBA absolutely loved and enjoyed our time in Leland," Fosdick said. The partners indicated that more announcements about the brand's future could be coming soon—suggesting a possible pivot or relocation rather than a complete end.
Why Are Breweries Closing?
The closures reflect a combination of local and national factors.
Rising Costs and Economic Pressure
Jamie Bartholomaus, president and co-owner of Foothills Brewing in Winston-Salem, told Yes! Weekly that breweries nationwide are grappling with inflation on raw materials. "Since COVID especially, there's been tons of inflation on raw material on barley, on hops, on cans," he said. "For craft brewers everything has gone up." The Brewers Association reported craft beer production declined about 5% year-over-year, with a slight decrease in the number of operating craft breweries from 2024 to 2025. Rent increases, labor costs, and insurance have squeezed margins for small producers.
Location and Foot Traffic
Steel Hands' Greensboro closure was driven by location and declining sales. Downtown Greensboro has faced challenges with fewer customers and economic sustainability for small businesses. MOBA Beer, open less than a year in Leland, may have struggled to build a customer base in a secondary market. Location matters—breweries in high-traffic areas with strong community support tend to fare better.
Extreme Weather and Disaster
BearWaters' Canton closure was a direct result of flooding. Hurricane Helene in 2024 devastated Haywood County; the Canton brewery was heavily damaged. Unable to recover from a second flood, the owners chose to consolidate. Climate-related disasters are an increasing risk for breweries in flood-prone areas.
Unique Circumstances
Sycamore's closure was triggered by the co-founder's arrest and the resulting reputational crisis. Edward Teach faced regulatory and ownership issues. Each closure has its own story—but they occur against a backdrop of industry-wide headwinds.
Shifting Consumer Preferences
Bartholomaus noted generational changes in alcohol consumption. "Younger consumers are drinking less or abstaining altogether, while some are turning to hemp-derived beverages," he said. "Craft beer is struggling. There's a moderation of alcohol going on with people." The Brewers Association has described the craft segment as in a "painful period of rationalization." Some breweries, including Foothills, have begun producing hemp beverages alongside traditional beer to diversify revenue.
Brewers on Guard: How the Industry Is Responding
Carolina brewers are watching the closures closely and adapting.
Focus on Hospitality and Taproom Revenue
Breweries that rely heavily on distribution are vulnerable when retail and wholesale channels tighten. Many successful operations are doubling down on taproom experience—food, events, community, and direct-to-consumer sales. BearWaters' decision to keep the Maggie Valley bistro—which offers a full food program—reflects this strategy.
Diversification
Some breweries are adding non-alcoholic options, seltzers, hemp beverages, or other products to capture shifting consumer preferences. Foothills and others have expanded into hemp drinks to stem declines in alcohol sales.
Consolidation and Pruning
BearWaters and Steel Hands both closed underperforming or disaster-damaged locations to focus on stronger ones. Pruning weak locations to protect the core business is a survival strategy.
Community Support
Bartholomaus emphasized that local breweries depend heavily on community support. "The best thing that could happen is people continue to come and support breweries," he said. "Almost all the money that goes to a craft brewery stays in the community." The North Carolina Craft Brewers Guild and South Carolina Brewers Guild continue to advocate for favorable policies and foster community among brewers.
The Carolinas' Craft Beer Scene: Still Strong
Despite the closures, the Carolinas remain a craft beer powerhouse. North Carolina has more than 400 independent breweries and brewpubs—the most in the American South. Asheville, the Triangle, Charlotte, and the coast each have thriving taproom scenes. South Carolina's craft beer community continues to grow in Charleston, Greenville, Columbia, and beyond.
The five closures in six weeks are a sobering reminder that the craft beer boom was never guaranteed to last forever. But the breweries that remain—and the new ones that open—are adapting to a new market. For those who love Carolina craft beer, the message is clear: support your local breweries. Visit them. Buy their beer. The ones that survive will be the ones that build strong community ties and deliver experiences worth leaving home for.
Summary
Five Carolina breweries have closed or announced closures in the past six weeks: Sycamore Brewing (Charlotte, Jan. 5—rebranding to Club West), Edward Teach Brewing (Wilmington, Feb. 15), BearWaters Brewing (Canton, Feb. 28), Steel Hands Brewing (Greensboro, Mar. 5), and MOBA Beer (Leland, Mar. 7). Contributing factors include rising costs on barley, hops, and cans; location and foot traffic challenges; extreme weather (BearWaters' flood damage); and shifting consumer preferences—younger drinkers consuming less alcohol or turning to alternatives like hemp beverages. Carolina brewers are responding by focusing on taproom hospitality, diversifying into hemp and other products, and consolidating underperforming locations. The Carolinas remain home to hundreds of breweries, but the recent wave has brewers on guard.
Sources
- StarNews — MOBA Beer Leland closure, March 3, 2026; Edward Teach Wilmington closure, Jan. 30, 2026
- Yes! Weekly — Steel Hands Brewing Greensboro closure, March 5, 2026; Jamie Bartholomaus/Foothills Brewing quotes on industry challenges
- ABC 45 — Steel Hands Greensboro abrupt closure
- WCNC — Sycamore Brewing closure, Jan. 5, 2026; South End reaction
- WBTV — Sycamore rebrand to Club West; Justin Brigham arrest
- Charlotte Observer — Sycamore rebrand, Club West Brewing
- WECT — Edward Teach Brewing closure, Feb. 15, 2026
- WWAY — Edward Teach February closure
- The Mountaineer — BearWaters Brewing Canton closure, Feb. 28, 2026; flood damage, Maggie Valley consolidation
- Brewers Association — Craft beer production decline, industry trends
- NC Beer Facts & Figures — North Carolina Craft Brewers Guild; 400+ breweries