Hohensteins distribution breaks ground in Cottage Grove

By Bruce Karnick
Posted 10/20/23

There is a lot of activity in the industrial park of Cottage Grove, there will be a Kwik Trip added to the area and the most recent project to start is a 140,000 square foot distribution center for …

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Hohensteins distribution breaks ground in Cottage Grove

Posted

There is a lot of activity in the industrial park of Cottage Grove, there will be a Kwik Trip added to the area and the most recent project to start is a 140,000 square foot distribution center for Hohenstein’s, a locally owned and operated beer distributor.

Hohenstein’s was a grocery store and after World War II, Karl Senior returned from the war and took over the family business. He purchased a truck to make deliveries but grocery delivery was not covering the cost of the truck so Karl expanded to beer delivery. Soon after, delivering beer and groceries became too much for the small truck and by the 1950’s, that one venture brought about two companies, a small beer distribution company and a trucking company that, at one point, had 40 semi-trucks on the road.

The trucking company was sold in the 70’s and the proceeds from that purchased a Schlitz distributor in the east metro. Two years later, Pabst joined the fray and the nation’s first Schlitz/Pabst wholesaler was born. The company was also a distributor for Leinenkugel’s and Molson (Miller brands) but they traded those brands to be the sole distributor of Pabst in St. Paul and Minneapolis. In the 1990’s, craft beer began to boom and Hohenstein’s became a craft beer distribution pioneer. They currently distribute over 15 craft beer brands along with nine imports plus Pabst and Coors brands. They also distribute Kombucha wellness beverages, several ciders and alternative beverages and non-alcoholic items.

They currently have a warehouse out of Woodbury but that space has become to limiting which brought them to Cottage Grove.

“We're just out of room at our current facility,” explained Karl Hohenstein. “We have about 1800 bars and about 600 liquor stores that we sell to in the Twin Cities.”

Hohenstein is looking forward to getting into the new facility sometime in June of 2024. The new space is set up to allow room for growth which could bring additional jobs to Cottage Grove.