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24 WINES&VINES September 2015 WINE INDUSTRY NEWS P ortland, Ore.—A city synonymous with microbreweries and urban wineries is bursting at the seams as producers out- grow the facilities that made their names. One of the next moves is Helioterra Wines' relocation from the Southeast Wine Collective in Portland to the new Bjornson Vineyard facil- ity in Salem, Ore. "The space at the collective is great, and there's a lot of opportunity there. But that par- ticular winery, because of the way it's struc- tured, is better suited to brands about half of my size," Anne Hubatch, principal of Helio- terra, told Wines & Vines. Since moving into Southeast Wine Collec- tive's premises in 2012, Helioterra's production has increased 250%—from 1,200 to 3,000 cases. Hubatch also produces wines under the Whoa Nelly! label at a winemaking facility in downtown Eugene, Ore. Hubatch is ceding her space to other, smaller wineries at the collective, which counts Division Winemaking Co., Jackalope Wine Cel- lars and Ore Winery among its tenants. "Right now, the folks that have facilities in the city are almost maxed out, and then those of us who are moving out are not at a point where we're doing our own space," she ex- plained. "I was actually looking for property to stay in the city, but the real estate market in Portland is really challenging right now." This made a move to premises in the Willa- mette Valley, where Hubatch already sources fruit, an attractive alternative to leasing an expensive space in Portland—or even co-locating with other winemakers (another option she explored). Pattie Bjornson, who with her husband Mark Bjornson planted vines at Bjornson Vine- yard in 2006 and built the winemaking prem- ises last year, said the move makes sense and isn't uncommon. Brianne Day of Day Wines, which is launch- ing its own 14,000-square-foot facility in the Dundee Hills this year, made wine at the Bjorn- sons' in 2014. John Grochau, another Portland winemaker (and a partner with Hubatch on the Guild Winemakers brand), also makes wine at the Bjornson premises. Grochau also recently took space at another Willamette winery for his winemaking activity and remains the Bjorn- son's biggest grape buyer. Grochau originally made wine at Boedecker Cellars in Portland, but the expansion of Bo- edecker's production put Grochau on the search for another location. Southeast Wine Collective provided a home, but then his own expansion prompted yet another move. "When John was making his wine up in Portland—and we had to deliver 10 tons of fruit to downtown Portland—it wasn't pleas- ant," Pattie Bjornson said. "So we were very thrilled when he moved." Moreover, if rural property means lower overhead for urban winemakers, Bjornson and other winemakers also have an opportunity to make better use of their capacity—something much in demand as grape production contin- ues to grow across the state. "To help finance the winery, it's nice to be able to lease space and fully utilize the equip- ment that we have," Bjornson said. —Peter Mitham Growing Urban Wineries Seek Options to Expand "The space at the collective ...is better suited to brands about half of my size." —Anne Hubatch, Helioterra Wines