49th State Brewing has opened its fourth location with an intentional strategy that dug into what guest’s had demanded along with a refined focus on the Alaskan brewery’s core products in the craft beverage segment.
The new space, called 49th State Brewing @ The Rail, is situated near the Downtown Anchorage Railroad Depot and directly links to the company’s production facility. However, it differs from the brewery’s larger venues in terms of size, scope, and menu.
“Our first three locations have larger footprints and broader menus,” said David McCarthy, CEO and founder of Northern Hospitality Group, the parent company of 49th State. “Over time, we began receiving consistent feedback from guests who wanted a more intimate environment, something less focused on food and more centered on the beer and beverages we craft.”
That guest input wasn’t just anecdotal; it aligned with broader market demand. By listening to consistent feedback, McCarthy said the company validated a clear appetite for a smaller, beverage-first model.
“The market was clearly signaling a desire for a location where the beverage experience was the primary focus, and food played a complementary role,” he said.
This approach successfully transformed customer feedback into a business case, positioning the additional venue as a deliberate experiment in diversifying the 49th State brand across both craft beer and spirits.
The company also leveraged its location choice as a competitive advantage.
The Rail sits at the intersection of Ship Creek Trail and the Coastal Trail, anchoring an area McCarthy described as “a part of the city that had stagnated for decades.”
By partnering with developers and the Alaska Railroad, 49th State was able to secure prime placement early. The hopes can be in establishing brand equity in a redeveloping corridor before competitors could gain a foothold.
From an operational standpoint, the new location was designed to improve efficiency and strengthen staff expertise. The smaller footprint, McCarthy said, enables the team to emphasize specialty offerings while simplifying service.
“The smaller footprint allows us to highlight more esoteric, small-batch products,” he said. “Here, we can release single-keg, experimental beers without the pressure of scaling up.”
That tighter format reduces labor demands and training complexity while elevating staff knowledge, a combination that balances risk with innovation.
Licensing strategy also played a role. McCarthy pointed to Smо̄kshine, a distilled version of the brewery’s award-winning smoke beer produced with a local distillery (Alaskan Spirits), as an example of how the company layered licensing to maximize revenue streams.
“It’s available both onsite and to-go, thanks to a carefully layered licensing strategy that goes beyond the traditional tasting room model,” he said. That flexibility creates new channels without overextending the brand.
One of the most noticeable changes at the new location is its limited menu, a purposeful choice McCarthy said, to help in managing brand focus.
“The limited menu is key. At our other locations, large food menus can shift focus away from our beer. Here, the balance is reversed, drinks take center stage,” McCarthy said.
Yet the company didn’t eliminate food entirely. By introducing the sorisso, “a playful twist on pizza that sits somewhere between a calzone and a sandwich,” 49th State ensured the food program remained complementary and portable for outdoor activity.
“The menu is intentionally designed to complement, not compete with, our drinks,” McCarthy said.
The location also helps the company respond to a market need for smaller, private events. It’s a strategic contrast to the larger banquet halls and pub environments at the brewery’s other venues.
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“We saw clear demand for more intimate, private events — groups of 40-60 people — who didn’t want to rent large spaces or navigate busy pub settings,” McCarthy said.
Purpose-built event programming can help in broadening revenue while maintaining operational alignment with the venue’s compact size.
For McCarthy, the lessons from 49th State’s larger venues shaped the execution at The Rail.
“Bigger isn’t always better for every situation,” he said.
By building a smaller, more minimalist space, the company reduced overhead and service friction while reinforcing its brand around experimentation, quality, and connection. The design itself reflects that positioning. A stone wall showcasing 32 draft options provides an intentional centerpiece, and in summer, a retractable wall opens the space to the outdoors, blending Alaskan geography with the brand’s brewing identity.
“Given our long winters, we embraced a Nordic design: white pine, open spaces, and a light-filled environment to lift moods year-round,” McCarthy said.
Taken together, the location looks to represent a calculated balance of risk and opportunity. It doesn’t aim to replicate the company’s other properties but rather to complement them with a leaner, beverage-first model that could inform future growth.
“It’s all about elevating the experience — be it through a craft beverage, a thoughtful bite, or meaningful conversation,” McCarthy said.
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