Manhattan Whiskey Distillery Closes Amid National Drinking Decline

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Great Jones Distilling Co., the only whiskey distillery in Manhattan, has closed its doors after just five years of operation. The decision comes amid a national trend of declining alcohol consumption, with a recent Gallup poll revealing that drinking levels have reached their lowest point since 1939.

Located in lower Manhattan, the distillery operated within a 28,000-square-foot building and was owned by Proximo Spirits, the New Jersey-based distributor of Jose Cuervo. The company provided a restaurant, retail store, speakeasy, tasting rooms, and tours. The closure was announced on October 2, citing economic issues. The website stated that the distillery would continue to sell its whiskey online and in select retailers.

A Proximo spokesman told The Spirits Business that the decision followed a thorough review of industry trends, market conditions, and business strategy. The distillery’s $21 million renovation, which took six years to complete due to the pandemic and New York regulations, was intended to create 100 jobs. However, only 26 positions remain, and these will be effectively laid off on December 7.

Declining Alcohol Consumption Trends

The closure of Great Jones Distilling Co. appears to be part of a broader trend in the U.S. alcohol industry. According to an August Gallup poll, 54% of adults say they drink any alcohol, the lowest level in two consecutive years. Additionally, only 13% of adults say they sometimes drink too much, a record low compared to 25% in 2016.

The poll also highlighted a growing concern about the health risks of alcohol. From 2023 to 2025, there was a 14-percentage-point increase in the number of people who believe alcohol is harmful to health. In 2026, 51% of respondents said moderate drinking is bad for health.

A new statistic revealed that 17% of people, including both drinkers and non-drinkers, said they had consumed a nonalcoholic beverage in the past year instead of alcohol. Gallup concluded that alcohol consumption has “changed significantly in recent years” due to increased health concerns, with fewer Americans drinking and those who do cutting back, including by switching to nonalcoholic drinks.

Industry Reactions and Broader Trends

Michael Correra, the executive director of the Metro Package Store Association, described the alcohol industry as undergoing a “major reset.” He warned that the business is “imploding” and predicted that liquor stores may also close as fewer people drink.

Great Jones is not the only company affected by this trend. Earlier this summer, the Republic National Distributing Company, the second-largest wine and spirits distributor, filed for bankruptcy. In 2022, Hangar 1 Vodka, also owned by Proximo, closed its distillery and tasting room to meet “the changing needs of the business.”

Source: Daily Wire