The City of Cincinnati and the Cincinnati Park Board have approved a lease agreement with MLH Cincinnati USA, LLC (Christian Moerlein Brewing Company) to build and operate the Moerlein Lager House, currently under construction as the first new restaurant at Cincinnati Riverfront Park.

The City will enter into a 40-year lease for the two-story, 15,000-square-foot brewpub, which will have an indoor seating capacity of 500 and room for an additional 600 patrons in its outdoor beer garden.

A meeting and banquet facility called the "Four Seasons Room" will be located on the building's second floor. A working microbrewery, producing 5,000 barrels of beer annually, will be open for public tours.

"With every visit, patrons of the Moerlein Lager House will experience a part of the region's legendary brewing history and what is so authentic and unique about it," Christian Moerlein Brewing Company President and CEO Greg Hardman said in a media release.

Under terms of the lease, Christian Moerlein will pay $150,000 in fixed rent during the agreement's first year. In the second year, the company will pay a fixed rent of $150,000 and 1.875 percent of the brewpub's gross sales. In subsequent years, the company will pay a monthly fixed rent of $12,500 plus the 1.875 percent of gross sales, with a fixed minimum of $225,000.

Christian Moerlein also will receive $2 million in City funding for core and shell improvements, and will be expected to spend $4 million on interior improvements.

The agreement prohibits the company from opening a similar concept within a 45-mile radius, and bans the brewpub from selling non-Christian Moerlein products outside of special events.

Last fall, Christian Moerlein paid the City $225,000 when it signed a preferred developer agreement, effectively satisfying year one lease payments.


Team selected

A development team has also been selected to design, build, and prepare food for the Moerlein Lager House.

Cunningham Restaurant Group, best known for its Stone Creek restaurants in Ohio and Indiana, will serve as the restaurant operator. Schumacher Dugan Construction will be the construction manager, and Tilsley + Associates Architects will provide design services.

"Our goal is to welcome our guests to a dining experience offering casual elegance, warmth, and exceptional quality," said Tom Cunningham, executive partner with the Cunningham Restaurant Group. "Our value-priced fare at the new Moerlein Lager House will be a unique blend of classic and contemporary menu items that complement the fresh, flavorful Christian Moerlein beers and ales that will be brewed on-site."

August 2011 is the targeted opening date.

The project is expected to create 250 jobs, of which 125 will be full-time positions.

The first phase of Cincinnati Riverfront Park is scheduled to open next April.

Previous reading on BC:
Army Corps awards first contract for riverfront park (6/10/10)
Women's Committee announces new initiative for riverfront park (6/1/10)
New construction updates for riverfront park (5/24/10)
With Moerlein move, OTR to see first brewing since 2005 (4/19/10)
Cincinnati Riverfront Park receives $1M gift from Schmidlapp Trusts (4/12/10)