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Ste. Michelle Wine Estates Shuts Tasting Rooms as It Reshapes Strategy Amid Production Cuts

by Kaia

Ste. Michelle Wine Estates, Washington’s largest wine producer, has closed two of its tasting rooms, continuing its restructuring efforts following significant production cuts. The Columbia Crest tasting room in Paterson and the 14 Hands tasting room in Prosser are now closed, the company confirmed in a statement.

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Lynda Eller, a spokeswoman for Ste. Michelle, explained that the closures were part of a broader focus on winemaking and expanding the company’s iconic wine brands nationally. “It’s been a privilege to host local tasting room visitors over the years, and we hope fans will continue to enjoy their favorite wines through their local grocery stores, wine shops, and restaurants,” Eller said.

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Despite the closures, Ste. Michelle still operates three tasting rooms in Washington: Spring Valley Vineyard and Northstar Winery in Walla Walla, and Chateau Ste. Michelle in Woodinville.

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The closures come a year after the company asked its grape growers to reduce production by approximately 40 percent. Growers were also asked to renegotiate existing contracts, a move that was revealed in the summer of 2023.

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The company, which is owned by New York private equity firm Sycamore Partners Management, also closed the 14 Hands production facility in 2023. The Horse Heaven Wine Co., which is operated by the Andrews family, acquired the facility and crushed grapes there this year. Ste. Michelle leased back the tasting room and viticulture office space at the location.

The 14 Hands facility has a capacity of around 15,000 tons of grapes, but Horse Heaven Wine Co. plans to crush only about 1,000 tons this year. Justin Andrews, a partner in both Horse Heaven Wine Co. and McKinley Springs Winery, confirmed the purchase and operational plans.

Ste. Michelle’s strategic shift marks a notable change in its approach to Washington wine, with an emphasis on national brand expansion and a reduction in local operations.

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