New brewery and restaurant could replace former K2 taproom in Penfield

A special-use permit hearing on July 2 covered a microbrewery and small restaurant at 1221 Empire Boulevard, the former K2 Brothers Brewing taproom. The proposal also leaves room for office space on the second floor, and it would reuse an existing building in the LaSalle’s Landing Development District, where any change in use, occupancy, owner or operator triggers a formal hearing.

Philip McArthur told the board his group wants to acquire the site and reopen it as a brewery with a small restaurant, not as a full-scale buildout. The plan calls for only limited improvements, including signage, exterior painting, cleanup, interior maintenance and new furniture, fixtures and equipment. No new building construction, site expansion or land disturbance is expected.

McArthur also sketched an operating model. Hours would likely run from late afternoon to about 10 p.m. on weekdays, noon to 11 p.m. on weekends and earlier on Sundays, with the business closing no later than 11 p.m. each day. Prescheduled live music would be allowed indoors and outdoors depending on weather, but it would end by 9 p.m. and be treated as background entertainment rather than a concert venue. Board members raised parking concerns, and McArthur said the operators would look at overflow management, including moving staff parking off-site and timing larger events for slower business periods.

K2 Brothers Brewing shut down the Penfield taproom temporarily in November 2025 after telling Mug Club members the pause was tied to unforeseen circumstances and was meant to allow repairs and internal changes aimed at improving the customer experience. The company had hoped to reopen by the holiday season, but never set a date.

K2 Brothers Brewing's Walworth operation at the former Freewill Elementary School closed on March 23, 2025. K2 bought the school in May 2023 for $1.45 million, opened the Walworth location in January 2024, took over all 72,000 square feet on more than 40 acres, turned the cafeteria into a large taproom and the gymnasium into a brewery, and more than tripled production capacity. By the time the Walworth site shut down, K2 cited pressure from the bank, rising ingredient and materials costs, lower-than-expected sales and unexpected events.

In February 2026, a foreclosure judgment covered both the Penfield taproom and the Walworth property. Court records put the first mortgage balance at more than $2.5 million and an interim loan at nearly $2.4 million, before interest and legal costs, and named 4320 Canandaigua Rd LLC, K2 Brewing Inc. and 1221 Empire Blvd LLC, along with Kyle and Brad Kennedy as guarantors.

Tom Quigley, part of Birch Creek LLC and the prospective property owner, said there have also been discussions about buying the adjacent former Agway property.