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Updated about 2 months ago on . Most recent reply

Wormtown Merger Reveals Harsh Truth About Worcester’s Tax Structure
This summer, Jack’s Abby Brewing of Framingham acquired Wormtown Brewing of Worcester, marking another step in the ongoing consolidation of the microbrewing industry in Massachusetts. Wormtown has built a strong brand, with its beer recognized beyond the local region.
However, this merger raises questions about the challenges of doing business in Worcester. If Wormtown is better off brewing its beer in Framingham, a key factor could be Worcester’s commercial tax rate. The dual tax rate in Worcester has been a deterrent for businesses, and this merger serves as yet another example of its impact.
From a financial perspective, the numbers are clear. Worcester’s commercial tax rate stands at $30.04 per $1,000 in property value, compared to Framingham’s significantly lower rate of $11.94. On top of that, Wormtown was being charged approximately $115,000 in personal property taxes for its equipment, in addition to rent and likely a portion of a triple-net lease.
By moving manufacturing operations to Framingham, Jack’s Abby can increase capacity without incurring additional taxes or equipment costs. Given the tax disparity, choosing Framingham over Worcester makes clear economic sense.
Interestingly, Worcester has a lower cost of residential rents and likely lower labor costs than Framingham, yet its business tax policies continue to push manufacturers out. This trend is reinforcing Worcester’s evolution into a bedroom community for towns with more favorable business climates to the east.
On the bright side, Jack’s Abby has announced plans to expand Wormtown’s taproom on Shrewsbury Street, including outdoor seating. While this is great news for local beer enthusiasts, it underscores the irony that Worcester residents will be enjoying beer brewed in Framingham—largely due to Worcester’s tax structure.
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@Brian J Allen That is also unfortunate because Worcester seems like it would be a good site for local manufacturing and businesses. I would think it has a sufficient labor pool. I can't say it's easier to access than Framingham but it is a less car dependent area then some manufacturing locations I have seen in the suburbs between Worcester and Boston. Places where you have to drive a ways and they wonder why they can't get workers at starting wages. It is a bit short sited.